Viettel Group officially launched telecom services in Haiti one year ago. NATCOM Company - a joint venture between Viettel and the Bank of the Republic of Haiti (BRH) - the central bank - possessed the largest, most modern telecom network in Haiti. Viettel keeps 60 per cent of interest in Natcom and BRH holds 40 per cent.
This was the first and largest foreign investment project at the back of the terrible earthquake in January 2010 that destroyed more than 80 per cent of the country’s infrastructure. Natcom officially started business operations on September 8, 2011 with the largest network infrastructure in Haiti, which was 1.5 times larger the second largest carrier. The company covered mobile cellular and Internet services in even remote areas.
Connecting point
Being the sole carrier using fibre optic transmission lines, Natcom possesses 3,500 km of fibre optic cables, covering 95 per cent of districts in Haiti. The installation of fibre optic cables confronted numerous difficulties but fibre optic-based infrastructure showed advantages of broadband, high speed, stability and connection quality. This was reflected by the support of the Government of Haiti to ensure communication during and after Isaac Hurricane in August 2012. High-definition video-conferencing system between the Presidential Palace with more than 20 administration points, including the Government Office and central agencies, designed, installed and provided for free by Natcom, served of the President and the Government to monitor and guide resolution to storm aftermaths.
Together with sustainable network infrastructure, the broad bandwidth of the fibre optic network is the basis for Natcom to become the only company that provides telecom services to every corner in Haiti. For the first time in the island country, 3G mobile Internet services are deployed across the country to provide broadband Internet access for far-lying people. Natcom is the sole telecommunications company to supply HD video-conferencing services in all Haitian provinces.
Natcom also owns three 3.5 Gbps international connection terminals, expanding the total capacity of Haiti's international connections by 4.5 times from 1 Gbps in September 2011 - the time before Natcom officially started providing services. Natcom becomes the main connection point for Internet service providers (ISPs) in Haiti, resolves basic problems of international bandwidth congestions, and upgrades access speed from 2 - 3Mbps previously to hundreds of Mbps, depending on the needs of businesses, organisations and individual users.
Before the presence of Natcom, Haitian people paid 10 centres per minute for internetwork connection - 1.5 times more than Vietnam. Internet users paid US$23 a month, about 10 times higher than in the Vietnam.
Starting a new industry
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To date, Viettel has officially invested in five countries, namely Laos, Cambodia, Haiti, Peru and Mozambique.
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In addition to network construction, Natcom built its own retail system. Staff and sales collaborators went everywhere to advise Haitian citizens to use telecom services. This marketing method provided stable-paid jobs for 7,000 workers.
As a result of the success, other telecommunications companies started using similar marketing methods although they underestimated and doubted it when the company deployed. That meant that this business model provided paid jobs for tens of thousands of workers and contributed to social stability after this country was affected by natural disasters.
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Haiti is the third largest country in the Caribbean, with a population of about 9.8 million people and an area of 27,751 km2, with mostly hilly. Two-thirds of the Haitian population lives on agriculture, smallholding farming and is exposed to natural disasters. According to the International Monetary Fund (IMF), GDP per capita in 2008 reached US$570. 80 per cent of population lives below the poverty line and 54 per cent live below the extreme poverty line.
Prior to Natcom’s presence, Haiti’s landline telephone penetration was 1.7 per cent - the lowest rate in Latin America and Caribbean. Mobile penetration stood at 35 per cent with around 3.25 million subscribers shared mainly by two operators, Digicel with 2 million users and Comcel, the rest)
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In August 2012, tropical storm Issac swept over Haiti, causing severe damage to the country and interrupting most telecom networks. In that context, the internal governmental videoconference system installed by Natcom, was the only vehicle for President Michel Martelly to contact and administer flood prevention in provinces. Later, the representative of the Government of Haiti extended a profound gratitude to Natcom Company for its contributions to the country since it’s arrival.
With the experience of providing budget telecommunications services in Vietnam, the Viettel Group officially invested in five countries, i.e. Laos, Cambodia, Haiti, Peru and Mozambique. With the business method “network first, business later" and 4-Any philosophy “telecom is in any place, at any time, any price and for anybody”, given being the last entry to Cambodia and Laos, Viettel’s brands in these markets, Metfone and Unitel respectively, owned the biggest network infrastructure right at the launch and gained the number one position by market share after just two years.
M.L