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Operators to build out 4G network in seven regions each, split the costs down the middle.
Telia-owned Kcell on Wednesday launched commercial LTE services in Kazakhstan and struck a network-sharing deal with VimpelCom-owned rival Beeline.
Kcell’s network has gone live in the cities of Almaty, Atyrau, Aktau, and Shymkent. However, the aforementioned network-sharing deal means services are also accessible in a further nine cities.
Going forward, Kcell and Beeline plan to extend their shared LTE network nationwide, with the operators taking responsibility for seven regions each, and the deployment costs split down the middle.
"This agreement to combine the 4G/LTE networks of Kcell and Beeline Kazakhstan will enable us to provide our subscribers with accelerated access to 4G/LTE services, which in turn brings high data speed, greater quality and nationwide coverage," said Arti Ots, CEO of Kcell, in a statement.
By the end of 2016, Kcell and Beeline aim to cover 30% of the population. The joint network will be managed by representatives from both telcos.
"The agreement is also a clear demonstration of moves within Kazakhstan’s mobile telecoms market towards an era of ‘co-opetition’, with operators combining their efforts to generate additional value for both shareholders and customers," said Ots.
