BTC preparing to increase capacity of its network

By BARBARA WALKIN

Senior FN Reporter

barbara@nasguard.com

The Bahamas Telecommun-ication Corporation (BTC) is poised to broaden customer service and triple its capacity through its partnership with Nortel.

Nortel, one the foremost wireless operators in the U.S., was awarded the GSM expansion contract from BTC earlier in the week.

The announcement of the new agreement came over the weekend during the 22nd Annual Telecommunications Conference and Trade Exhibition at the Barcelo Bavaro Convention Centre, Punta Cana, Dominican.

Hundreds of telecommunication and communication operators from throughout the Caribbean and United States attended the event hosted by the Caribbean Association of National Telecommunication Organizations (CANTO).

The contract will also allow the operator to triple the capacity of its wireless network, extending service from Abaco and Bimini to include all of the Family Islands by the end of September 2006.

With this investment, BTC will also increase enhanced roaming capabilities, resulting in the telecommunication company further accommodating international visitors and making The Bahamas a more attractive destination.

In an interview with Cellular News, Leon Williams, BTC's acting CEO said, "Our aggressive schedule to complete this expansion by the end of September is a direct response to the great investments being made by the Bahamian government in an effort to attract high-end hotels and resorts, as well as housing sub-divisions for affluent vacationers."

Williams added that this solution will help put BTC at the forefront of next-generation mobile communications in the Caribbean market.

Alvio Barrios, Nortel's Caribbean and Latin America regional sales vice-president agreed and added that the supporting new services for end-users via fixed mobile convergence and IMS technology is an added attraction.

"Nortel is responding to the growth of wireless voice and data usage with technologies capable of meeting and surpassing the needs of mobile communicators. The ability to provide enhanced wireless data services, such as multimedia, will help drive Nortel's leadership in this market," noted Barrios.

This move should not only increase BTC's service span, but also its profits.

Minister of Works and Utilities, Bradley Roberts during his contribution to the 2006 Budget report, explained that in 2005, BTC's assets total led $494,771,000 compared to $461,832,000 in 2004, and its total revenue was $300,570,000 compared to $274,464,000 in 2004.

In 2005 BTC had an operating profit of $36,008,000 compared to $9,757,000 in 2004, and its total net profit of $34,533,000 compared to $8,340,000 in 2004.

According to Roberts, BTC's performance for the first quarter of 2006 is continuing in last year's trend as for the month of March, the company generated $28.4 million and earned a net profit of $2 million.

He noted that the first quarter 2006 gross revenues increased to $11.7 million over the same period of 2005, which is due primarily to a $9.6 million increase in GSM revenues.

Roberts disclosed that BTC intends to spend $35 million this year completing the deployment on the GSM network to more than double the company's subscription.

"BTC engineers are in the islands performing testing on Phase II of BDSNI which started January 2 this year and is expected to be completed by August.

"Phase II is connecting Inagua to New Providence via San Salvador, Rum Cay, Acklins, Mayaguana, Crooked Island, Cat Island, Abaco and Grand Bahama," said Roberts.

BTC will spend an additional $6 million to increase the capacity for the GSM network from 120,000 to 250,000 subscribers. An additional $6 million has been allocated to improve the coverage of GSM in New Providence and Grand Bahama.

© 2006 The Freeport News