VietNamNet Bridge - Gtel-Mobile, a joint venture between Global Telecommunications Corp. (Gtel) under the Ministry of Public Security and Russian firm VimpelCom, has named a new general director in what appears to be a shakeup to prop up its poorly performing Beeline network.


New general director of Gtel-Mobile Michael Cluzel used to serve as CEO of Millicom International Cellular SA in Laos, where he successfully raised subscriber numbers from 90,000 to 600,000 and market share from 12% to 26% in just three years.

According to Cluzel, the local telecom market consists of two tiers, with the upper one having three major state-owned operators – VinaPhone, MobiFone and Viettel. Gtel-Mobile as the operator of Beeline is looking to become the frontrunner in the lower tier that comprises Vietnam Mobile, EVN Telecom, Beeline and Indochina Telecom, or the fourth largest operator in the country.

The company plans to build 5,000 new base transceiver stations next year, add 1,000 staff members and increase its total number of retail outlets to 50,000 in the country, Cluzel said.

VimpelCom will provide an additional US$500 million for the Vietnamese joint venture from now to 2013, taking the total investment in Beeline to US$1 billion.

Beeline debuted on the local market in 2007 and it has since secured one million subscribers.

Source: SGT