Millicom International Cellular S.A. operates as a global telecommunications operator. The company has interests in 16 mobile systems in 16 countries, focusing on emerging markets in Central America, South America, Africa and Asia.
CENTRAL AMERICA
Central America—Millicom's mobile operations comprise El Salvador, Guatemala and Honduras.
El Salvador
El Salvador's government system is a democratic republic. El Salvador's telecommunications market is among the most liberalized in Central America.
Millicom has a 100.0% equity interest in Telemovil El Salvador, S.A. Millicom accounts for this operation as a subsidiary, i.e., using the consolidation accounting method. Services offered also include broadband internet, fixed wireless telephony and public telephony.
Telemovil operates a GSM/GPRS/EDGE network and a TDMA network. Telemovil also provides international long-distance services, internet services and local telephony services.
As at December 31, 2006, Telemovil's GSM network comprises 390 base stations with the capacity to handle a maximum of 1.5 million concurrent subscribers, and covered 87% of the total population.
Guatemala
Millicom has a 55% equity interest in Comunicaciones Celulares, S.A. (Comcel). The remaining 45% of the company is owned by Miffin Associates Corp., a Panamian company controlled by its local partner. Millicom and Miffin jointly control Comcel. Millicom accounts for this operation as a joint venture, i.e. using the proportionate accounting method.
Comcel operates a GSM/GPRS/EDGE network and a TDMA network. Comcel also provides international long-distance services, internet services and local telephony services. Comcel acquired WiMAX spectrum in July 2006.
As of December 31, 2006 the GSM network comprises 879 base stations with the capacity to handle a maximum of approximately 2.2 million concurrent subscribers, and the network covered 76% of the total population.
Honduras
Millicom has a 66.67% equity interest in Celtel. The remaining 33.33% of Celtel is owned by Proempres Panama S.A., a privately-held company controlled by its local partner.
Celtel operates a GSM/GPRS/EDGE network and a CDMA network. Celtel also provides international long-distance services and local telephony services. As of December 31, 2006 the GSM network comprised 488 base stations with the capacity to handle a maximum of 1.7 million concurrent subscribers and covered 74% of the total population.
SOUTH AMERICA
Millicom's mobile operations in South America are located in Bolivia, Colombia and Paraguay.
Bolivia
Millicom has a 100% equity interest in Telecel. In addition to offering mobile services on a nationwide basis, Telecel offers limited long-distance fixed-line telecommunication services. Millicom accounts for this operation as a subsidiary, i.e. using the full consolidation accounting method. Telecel started offering nationwide GSM services in December 2005. As of December 31, 2006, the total number of GSM subscribers was 326,419.
As of December 31, 2006, Telecel's GPRS/EDGE-enabled GSM network comprises 198 base stations with the capacity to handle a maximum of 1.3 million subscribers. Telecel's customer base reached 936,374 subscribers.
Colombia
In October 2006, Millicom acquired 50% plus one share of the share capital of Colombia Movíl S.A. ESP.
EPM Telecomunicaciones S.A. ESP, a company owned and controlled by the municipality of Medellín, and Empresa de Telecomunicaciones de Bogota ETB, a company owned and controlled by the municipality of Bogota, each own 24.99% of the share capital of Colombia Movil. Emtelco (a subsidiary of EPM), Colvatel (a subsidiary of ETB) and Empresa Aguas del Oriente Antioqueño (a subsidiary of EPM) each own one share in Colombia Movil in order to comply with the minimum legal requirement of five shareholders.
The Colombia Movil to offer voice, data and video services without additional license requirement for value-added services. Additionally, Colombia Movil has one license for offering carrier services (bearer), with a term of 10 years. Colombia Movil S.A. ESP is operating in Colombia with GSM/GPRS technology, on the 1900 MHz band, with 30 MHz of spectrum. Colombia Movil does not have a WiMAX license.
Colombia is a calling party pays country. Interconnection is mandatory and it cannot be interrupted without previous permission from the regulator. Colombia Movil has operational interconnection agreements for voice and SMS services with two of the other mobile operators and is considering the interconnection conditions for other data services, such as MMS.
As of December 31, 2006, Colombia Movil's network comprises 1569 radio base stations with the capacity to handle a maximum of 2.6 million concurrent subscribers. The network is GSM/GPRS enabled and EDGE is in the process of being implemented.
Paraguay
Telecel also operates the major broadband wireless network with WiMAX in Paraguay. As of December 31, 2006, Telecel's number of customers reached 1,273,315. Telecel's network comprises 201 base stations, with the capacity to handle a maximum of 1.5 million subscribers, and covered 80% of the total population.
AFRICA
Millicom's Africa cluster consists of its mobile operations in Chad, the Democratic Republic of Congo, Ghana, Mauritius, Senegal, Sierra Leone and Tanzania.
Chad
Millicom has an 87.5% equity interest in Millicom Tchad. Millicom accounts for this operation as a subsidiary, i.e. using the full consolidation accounting method. Celtel Tchad, in which Kuwait-based MTC is the 80% majority shareholder, is the only other mobile operator in Chad.
The company offers tigo-branded prepaid services over its GSM network and services include GPRS, EDGE, MMS and e-PIN and have an international gateway. As of December 31, 2006, Millicom Tchad's GSM network comprises 54 base stations with the capacity to handle a maximum of 250,000 concurrent subscribers and the network covered 20% of the total population.
Democratic Republic of Congo (DRC)
Millicom has a 100.0% equity interest in Oasis S.P.R.L. and accounts for this operation as a subsidiary, i.e., using the consolidation accounting method. Millicom acquired Oasis from Orascom Telecom engages in the process of rebuilding the company's network coverage, product and service offering, marketing strategy and distribution network. Oasis also has an international gateway. Three operators (Starcel, Comcel and Afritel) were offering limited analogue and CDMA mobile services in DRC when Oasis entered the market with its GSM offering.
As of December 31, 2006, Oasis' GSM network comprises 155 base stations with the capacity to handle a maximum of 350,000 concurrent subscribers.
Ghana
Ghana's key industries include mining, lumber, light manufacturing, aluminum smelting and food processing. Gold, timber and cocoa production are major sources of foreign exchange. Ghana remains dependent on international financial and technical assistance.
Millicom Ghana pioneered the concept of prepaid services in Ghana. In addition to Millicom Ghana, three other companies offer mobile services in the country: Kasapa, Areeba and OneTouch.
Mauritius
Millicom has a 50% equity interest in Emtel Limited. The remaining 50% of the company is owned by a local partner. The two shareholders in Emtel jointly control the company. Millicom accounts for this operation as a joint venture, i.e., using the proportionate accounting method.
Emtel operates a GSM network which is GPRS enabled and a UMTS/3G network.
Emtel owns licenses for mobile services, international long-distance and internet services. In May 2006, Emtel has had temporary rights to offer WiMAX-based services on a trial basis.
As of December 31, 2006, Emtel's GSM network comprises 141 base stations with the capacity to handle a maximum of 325,000 concurrent subscribers, and covered 98% of the total population.
Senegal
Senegal has developed one of the most extensive and modern telecommunication infrastructures in Africa. Sentel's commercial operations, the number of mobile subscribers has grown substantially. Sonatel, controlled by France Télécom, is still the only other mobile operator in Senegal in addition to Millicom's Sentel.
As of December 31, 2006 Millicom had a 100% equity interest in Sentel. In March 2006, Millicom purchased the 25% minority stake in Sentel previously owned by its local business partner. As of December 31, 2006 Sentel' s GSM network comprises 167 base stations with the capacity to handle a maximum of 1.2 million concurrent subscribers and covered 65% of the total population.
Sierra Leone
Millicom (SL) is a wholly-owned subsidiary of the Millicom group. Millicom (SL) operates a network providing full GPRS-EDGE functionalities. Expansion of Millicom's network is ongoing, with the aim for the network capacity to reach 150,000 subscribers from an existing subscriber base of 62,000 as of March 31, 2007.
Tanzania
Millicom owns 100% of Millicom Tanzania, Ltd (Mobitel). Mobitel launched commercial analogue services using an ETACS network initially covering Dar es Salaam, Zanzibar, Arusha and Mwanza.
The company’s competitors include Tritel (a joint venture between two local industrial companies), Vodacom Tanzania (65% owned by South African mobile operator Vodacom and 35% owned by local Planetel Communications), Celtel Tanzania, and Zantel.
As of December 31, 2006, MIC Tanzania's GSM network comprised 501 base stations with the capacity to handle a maximum of 740,000 concurrent subscribers and covered about 50% of the total population.
ASIA
Millicom has three operations in Asia: Cambodia, Laos, and Sri Lanka. Millicom completed the sale of its two operations in Pakistan, Pakcom Limited and Paktel Limited.
Sri Lanka
Millicom has a 100% equity interest in Tigo (Pvt) Limited and accounts for this operation as a subsidiary, i.e., using the full consolidation accounting method.
Tigo (Pvt) Limited operates a GSM network on the 900 Mhz and 1800 Mhz bandwidths. Tigo (Pvt) Limited owns three different licenses: mobile, internet services and external gateway operations. In 2005 Tigo (Pvt) Limited began a significant network upgrade program which was completed in 2006. Tigo (Pvt) Limited also re-branded its services to tigo in 2007.
As of December 31, 2006, Tigo (Pvt) Limited's GSM network comprised 440 base stations. GPRS services are available and EDGE services are expected to be launched by mid-2007.
Cambodia
Millicom has a 58.4% equity interest in CamGSM. The remaining 41.6% of the company is owned by a Cambodian company, Royal Group of Companies (RGC, a communication and industrial conglomerate. Millicom and RGC jointly control CamGSM. Millicom accounts for this operation as a joint venture, i.e., using the proportionate accounting method.
The company's competitors include: Casacom, CamTel and Tricelcam (Malaysian).
As of December 31, 2006, CamGSM's GSM network comprised 461 base stations with the capacity to handle a maximum of 1.1 million concurrent subscribers, and covered 44% of the total population.
OTHER OPERATIONS
Millicom sold its two operations in Pakistan in June 2006 (Pakcom Limited) and February 2007 (Paktel Limited), respectively. Millicom sold its operation in Peru, Millicom Peru S.A., in October 2006 and divested its group of U.S. companies in May 2006.
OTHER INVESTMENTS
Tele2 AB
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History
Millicom International Cellular SA was founded in 1968.