National Regulatory Agency for Electronic Communications and Information Technology of the Republic of Moldova

After the launch of 4G broadband wireless public electronic communications services (also called LTE services - Long Term Evolution) in November 2012, now they are available in Chisinau, Balti, nine cities and in other 22 towns of Moldova, shows a report of the National Regulatory Agency for Electronic Communications and Information Technology (ANRCETI) on license holders’ compliance with special license conditions for 4G network/service provision - JSC "Orange Moldova" and JSC "Moldcell".

According to the estimations by the National Radio Frequency Center, currently the 4G network of JSC "Moldcell" ensures 4G signal coverage for Chisinau and nine of its suburbs and over 564,3 thousand people, which is 14.3% of the country’s population. The 4G coverage area of JSC "Orange Moldova" includes Chisinau, Balti, nine cities (Cahul, Ceadir - Lunga, Calarasi, Donduseni, Edinet, Hincesti, Orhei, Otaci and Ungheni) and another 22 towns with over 859.2 thopusand people or 26% of the population.

The Special 4G License Conditions require that their holders launch the minimum set of 4G services (data transmissions, including mobile broadband) during one year following the license issuance date, while before December 31, 2015 - ensure 4G coverage on areas inhabited by at least 25% of the population of Moldova. The two license holders fulfilled the first requirement long before the deadline - in November 2012, when they launched 4G services in Chisinau. Regarding the second requirement, JSC "Orange Moldova" met it before the end of the first year of their operation on this market, and JSC "Moldcell" - already reached 14 3% population coverage with 4G services.

Meanwhile, ANRCETI report shows that during the first year after the launch of 4G services the number of subscribers keeps below the expectations. At the end of November 2013, JSC "Orange Moldova" had 1 131 4G subscribers and JSC "Moldcell" - 305 subscribers. ANRCETI experts consider this situation caused mainly by the lack of a wide range of terminal devices enabling the use of 4G technologies (smart phones, iPads and laptops with wireless modems) and the high prices for such devices in Moldova.

In early November 2012, ANRCETI granted to JSC "MOLDCELL" and JSC "Orange Moldova" one license each, for the use the radio frequencies/channels in the 2500-2690 MHz band for the provision of 4G networks and services. These companies paid 10 million euro license fee, in MDL equivalent, to the state budget, a fee established on 06.06.2012, by Government Decree no.365 on the development of public electronic communications wireless network and services.

4G services are broadband wireless services based on standards of IMT and/or LTE and/or IMT-Advanced technologies. They provide mobile broadband connection speeds up to 100 Mbps which is more advanced than those offered by 3G networks. These technologies improve the quality of Internet access, enhance interactivity and data transmission capacity, videoconference organization via mobile phone, the use of other mobile applications.

December 26, 2013,