OSLO, Norway-Norwegian operator Teletopia made the surprise announcement that it would be using its GSM 1800 MHz license to develop Norway’s third independent GSM service. The network, dubbed T3, will be built with Ericsson and Netel technology.
Teletopia said in a press release that its quiet project’s coverage for a potential 180,000 customers in the Oslo area already met Transport and Communication Ministry minimum standards for national roaming, meaning Telenor Mobil would be required to allow Teletopia access to its network in the same way that users get access to other GSM networks abroad.
“With our own radio network and own mobile center we now have all the necessary qualifications to offer new tele-services, offer cheaper text messaging. For the first time Telenor will have real competition,” said Teletopia Chief Executive Officer (CEO) Robert Hercz.
The cheaper short message service (SMS) aspect seems to be the key to the T3 project. Teletopia’s hard-fought five-year battle to gain cheap access to Telenor’s SMS center (SMSC) network was on the verge of fruition when Norway’s Transport and Communication Ministry suddenly delayed implementing its decision.
Now Hercz has found another way to start a price war with former monopolist Telenor, but reckons on another difficult negotiation period while the Norwegian Post and Telecommunications Authority (PT) lays down regulations for national roaming. Therefore, subscription packages are not planned before the third quarter, although testing of the network will soon be under way in the Oslo area.
In the meantime, financial daily Dagens Naeringsliv uncovered further complications, reporting that Hercz owes 6.4 million Norwegian kroners (US$860,000) in back frequency duties for the previously unused license.
Teletopia blames obstruction by Telenor for its troubles, and the case is under consideration by the Ministry of Finance. Hercz said he would pay the duties when Telenor grants national access or if pressed by authorities, but not before.
Teletopia was established by Hercz in 1994 as the fourth telecom operator in Norway, but the company has concentrated on providing network services, SMS and interactive television.
