Baraka telecom invests US$16.66 MLN to set up MVNE hub in M'sia

KUALA LUMPUR, March 17 (Bernama) -- Baraka Telecom, a unit of Kuwait-based
telecom investment company Reach Telecom Holding K.S.C.C, Thursday announced an
investment of RM50 million (US$16.66 million) to set up a mobile virtual network
enabler (MVNE) hub in Malaysia.

A MVNE is a company that provides services to mobile virtual network
operators (MVNOs), such as billing, network element provisioning,
administration, operations, support of base station subsystems and operations
support systems, and provision of back-end network elements, to enable provision
of mobile network services like cellular phone connectivity.

Baraka Telecom's Chairman Mohammad Al-Sayegh said the company has invested
about RM35 million (US$11.66 million) to-date and will likely spend another RM10
million (US$3.3 million) to RM15 million (US$5 million) in the next 18 months to
establish Baraka Telecom as the preferred MNVE in Asia.

The company offers a dedicated MVNE solution with Tier-1 carrier grade
equipment and advanced prepaid and business support solutions, he said at the
company's official launch here Thursday.

"We are pleased to invest in Malaysia. There is currently a tremendous
growth opportunity in the mobile telecommunications sector in Asia.

"With our hosted MVNE platform, it provides the ability for an MVNO to focus
their core strengths of brand, customer loyalty and marketing and leave the
back-end enablement and operations to Baraka Telekom," he added.

Reach Telecom Holding Executive Board Member Michael Warren said Baraka
Telecom was in talks with three to four potential MNVOs and expected to
conclude the deals by this year.