New player on Hungary mobile market aims to be competitive, profitable
MPVI Mobil, established by a consortium of state-owned companies which was the biggest winner in a recent mobile frequency auction, aims to operate efficiently and profitably, chairman István Kalmár said at a press conference on Friday.
Kalmár said the entry of a fourth player on Hungary's mobile telecommunications market would boost competition and raise the level of service.
MPVI Mobil, a consortium of postal company Magyar Posta, the Hungarian Electricity Works (MVM) and the Hungarian Development Bank (MFB), was announced the winner in January of the biggest block – 5MHz – offered in an auction of the 900MHz band. Hungary's three existing mobile telecommunications service providers – Magyar Telekom, Telenor Magyarország and Vodafone Magyarország – also won frequency blocks in the auction.
The three existing players are contesting the decision awarding MPVI its spectrum in court.
Asked about the appeal, MPVI Mobil board member Pál Schmidt called for patience. "Let's not rush ahead, but wait and see what the court's decision will be," he said.
Schmidt said MPVI was required to start offering services in the center of the capital by the end of 2012. He added that the company would use external resources for developments, but declined to reveal any further details.
MPVI will offer data as well as voice services. The company is in the process of picking business partners.
A CEO for the company has not yet been named.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.