Digicel Moves Into Turk And Caicos' Newly-Liberalized Telecoms Market

by Amanda Banks, Tax-News.com, London

05 April 2006

Digicel, the mobile telecommunications firm operating predominantly in the Caribbean, has announced that it has been granted a license to establish a GSM cellular network in the newly liberalized market of Turks and Caicos.

This most recent license will position the pan-Caribbean company with operations in 16 markets, and follows the landmark conclusion by the Government of Turks & Caicos in January this year of the 106-year telecommunications monopoly held by Cable & Wireless.

It recently emerged that Cable and Wireless had yielded to pressure by giving up the last six years of its monopoly in the Islands, and had signed a new 15-year license agreement under the Telecommunications Ordinance 2004 and the Telecommunications and Frequency Licensing Regulations 2005.

Commenting on the move, the Honorable Jeffrey Hall, Turks & Caicos Minister of Communications, stated that: “We welcome Digicel and its dynamic approach to business in Turks and Caicos. The benefits Digicel has created in other Caribbean markets will help bring cutting edge technology to the telecommunications sector, while making a significant contribution towards the development of our tourism, financial services and local businesses."

With an imminent launch in Haiti, Digicel said that its new license in Turks & Caicos represents an "expansion push and toehold" in the northern Caribbean region.

Already in 2006 Digicel has moved swiftly on a number of significant opportunities, the most recent being a $6 million investment to launch services in Antigua & Barbuda. In total, the firm says that it has invested $1 billion across the Caribbean region.

Digicel has also entered negotiations to acquire Bouygues Telecom Caraïbe in the French West Indies, and has finalized plans to roll-out WiMax in Jamaica to offer fixed and mobile broadband communications for voice and data services to 1.4 million customers throughout the island.

Mr. Colm Delves, Digicel Group CEO, commented: “Digicel’s entry into Turks & Caicos marks our continued commitment to extend our reach across the region. We will continue to place nations at the cutting edge of wireless technology and challenge competitors in a manner that drives positive business development."

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