April 25, 2024

Mobile Deal in Myanmar Elicits Anger Over Religion

Hours after the announcement, a monk who is one of the leaders of a radical nationalist Buddhist movement called for a boycott of one of the two companies because it is based in Qatar, a Muslim country.

“Did the government have such little choice?” the monk, Ashin Wimala, a leader of the 969 movement, said in a telephone interview after the government announced the winners late Thursday. “Why did they award this to a Muslim company?”

The company, Ooredoo, won a 15-year concession to build and operate mobile phone networks virtually from scratch, as did Telenor Mobile Communications of Norway.

The networks are crucially needed in Myanmar, where less than 10 percent of people have a mobile phone. That is a startlingly low number at a time when mobile phones are ubiquitous even in the poorest corners of the world. In neighboring Laos, a country with similar levels of grinding poverty, mobile phone penetration is 87 percent.

But in a country that is 90 percent Buddhist and where anti-Muslim sermons and hate speech appear to have fueled rampaging lynch mobs, the award to Ooredoo drew fury.

On the Facebook page where the government announcement was posted, critical comments quickly accumulated. “Why? Why? Why Muslim company omg,” said one. “Say no to Ooredoo,” said another.

The government stood by its selection of the company, which operates in more than a dozen countries in the Middle East, North Africa and Southeast Asia. “We selected them for a license on the basis of their services: they have a good telecom service in Singapore,” U Ye Htut, a government spokesman, said by telephone.

In recent months, the leaders of the 969 movement have called for a boycott of shops owned by Muslims and products that they say are linked to companies owned by Muslims. The movement says the country’s Buddhist character is under threat and has proposed banning marriages between Muslims and Buddhists.

Over the last year, Buddhist lynch mobs have killed more than 200 Muslims and forced more than 150,000 people, mostly Muslims, from their homes.

On Sunday, the movement appeared to receive the blessing of President Thein Sein when he issued a statement calling Ashin Wirathu, the spiritual leader of the movement, “a son of Lord Buddha.”

How powerful the movement’s objections will prove remains to be seen. The telecommunication licenses are a potent symbol of Myanmar’s transition from decades of isolation under military rule to newfound freedoms for the country’s 55 million people.

The government pushed ahead with the announcement, even though members of Parliament voted Wednesday to delay awarding the contracts until a telecommunications bill currently being debated becomes law. Mr. Thein Sein wants voters to feel tangible results from the country’s economic liberalization and democratization before general elections scheduled for 2015.

Three years ago, when Myanmar was still under military rule, mobile phones were the preserve of the rich. The conditions of the license calls for a swift rollout: coverage must reach a quarter of the population within a year. Within five years, half of the population must have access to cellular data services and three-quarters must be able to make voice calls.

Both Ooredoo and Telenor have deep pockets, analysts say, a critical factor in Myanmar where the huge scale of the investment will require billions of dollars.

The chairman of Ooredoo, Sheik Abdullah bin Mohammed bin Saud al-Thani, issued a statement on Thursday saying that Myanmar would “undoubtedly become a key market” for the company.

Eric Pfanner and Wai Moe contributed reporting.

Article source: http://www.nytimes.com/2013/06/28/world/asia/mobile-deal-in-myanmar-elicits-anger-over-religion.html?partner=rss&emc=rss

Myanmar Awards Cellphone Licenses

Telenor Mobile Communications of Norway and Ooredoo of Qatar won the 15-year concessions for mobile phone networks. France Télécom and Marubeni Communications of Japan were selected as backups if the winners failed to meet “post-selection requirements,” a government statement said.

At a time of severe tension between the Buddhist majority in the country and the Muslim minority, the selection of a company from a Muslim country, Qatar, drew immediate criticism from a growing anti-Muslim movement that is openly calling for a boycott of all companies and products associated with Muslims. Buddhists posted angry comments on Facebook questioning why the government had selected a Muslim company.

Ashin Wimala, a Buddhist monk and one of the leaders of the 969 movement, the nationalist Buddhist group advocating the boycott, called for a boycott of Ooredoo. “Did the government have such little choice?” he said. “Why did they award this to a Muslim company?”

U Ye Htut, a government spokesman, said religion was not a factor in the selection. “We selected them for a license on the basis of their services — they have a good telecom service in Singapore,” he said, referring to Ooredoo.

After decades of oppressive military rule, during which the government deliberately kept mobile phones in short supply, the licenses are a potent symbol of Myanmar’s opening to the world and the newfound freedoms for the country’s 55 million people.

Only 3 percent of the population had a mobile phone in 2011, the last year for which data are available, a startlingly low number at a time when mobile phones are ubiquitous even in the poorest corners of the world. Three years ago, when Myanmar was still under military rule, a mobile phone SIM card cost the equivalent of about $2,500, making the phones a preserve of the rich. In neighboring Laos, a country with similar levels of grinding poverty, mobile phone penetration is 87 percent.

Although analysts in recent weeks said they had been generally impressed with the way the bidding process had been carried out, the hours before the announcement were cloaked in confusion. The lower house of Parliament, asserting itself in ways that are novel for a country still recovering from decades of rule by military fiat, voted Wednesday to delay the awarding of licenses until a telecommunications bill was passed into law.

The government ignored the resolution, and on Thursday a senior official appeared to persuade some members of Parliament to change their minds and allow the awarding of the contracts, according to local media accounts.

The government’s eagerness to push ahead with the licenses may derive partly from President Thein Sein’s desire for voters to feel tangible results from the country’s economic liberalization and democratization before general elections scheduled for 2015. Mr. Thein Sein has repeatedly told foreign investors of the need for speed in implementing their projects.

The conditions of the license call for a swift rollout of both voice and data networks: Coverage must reach a quarter of the population within a year. Within five years, half of the population must have access to cellular data services, and three-quarters must be able to make voice calls.

The mobile phone carrier contracts are seen as crucial for Myanmar’s economy as a whole because they will allow for things like banking or payment applications in an economy that is almost entirely based on cash. Smartphones will also potentially bring millions of consumers to the Internet.

But the task for the winners of the auction is gargantuan. Only 13 percent of the population has access to electricity in Myanmar, a logistical challenge for the placement of cellular transmission towers, which need steady access to power.

Security is also an issue in borderland areas where there is still sporadic fighting between armed ethnic militias and the Myanmar army.

Article source: http://www.nytimes.com/2013/06/28/technology/myanmar-awards-cellphone-licenses.html?partner=rss&emc=rss