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Thursday 23 October 2008, San José, Costa Rica 

President Defends His Order For The Open-Pit Mining Project
Calderón Trial Set To Commence On November 3
3G Or Not 3G?
2009 Marchamo To Be 14% More Expensive
Presidential Love??
Interamericana Sur Will Be Closed Beginning Tomorrow
 
3G Or Not 3G?
That is the question that is being asked by thousands of cellular telephone customers waiting on the state telecom, the Instituto Costarricense de Electricidad (ICE), as it runs into more problems in contracting a bidder for the new 3G cellular network.

The new 3G cellular network has been promised by the end of next year. However, that may only be a dream as ICE continues to have problems in getting a bidder to install and operate the new network.

The problems go back as far as five years when ICE first decided to introduce the latest generation of cellular service to Costa Rica.

The first bid for the 3G began last August when only one bidder, the Chinese company Huawei, came in at more than double the ICE budget of us$225 million dollars. All the other bidders, LG, Nokia-Siemens and ZTE (Samgung), backed out the last minute.

ICE, at the suggestion of Costa Rica's president, Oscar Arias, rejected the Huwaei bid, deciding on a new bid offering.

Notwithstanding, the interested bidders for the contract have yet to make their offer, in contrast are asking ICE to make changes to the bid.

ZTE, Huwaei and Nokia, have filed objections with the Contraloría General de la República (Comptroller General) of inconsistencies with the terms of the bid, asking for the changes to be made before the bid closure date, which is set for November 18.

One of the points of contention by the potential bidders is ICE's demand that each bidder has experienced the installation of at least three other 3G networks similar to that to be installed in Costa Rica.

The potential bidders feel this requirement excessive since installations may differ from one another, depending on the peculiarities and specifications of each client.

In its letter to the Contraloría, ZTE, says that the requirement in unreasonable. "Each 500 B node installation is equivalent to 2 million customers, while ICE only requires a system for 950.000 solutions". A similar statement was filed by the other potential bidders.

Interestingly and without any explanation, ICE,has reduced the bid to 950.000 lines from the original promise of installing 1.5 million 3G lines in the country.

The 1.5 million lines was ICE's estimate of lines required to retire the 500.000 TDMA lines and offer "prepaid" GSM service to Costa Rica.
 
 

The Blackberry Storm is the latest 3G cellular phone that cannot be fully used on Costa Rica's GSM network.

 

 

 
 

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