Chaudhary Group (CG) has signed a deal of around $100 million with China’s Huawei Technologies to bring the 4G phone services to the country.
Aiming to revive Nepal’s cellular market similar to what Reliance Industries Ltd’s Jio has done in India, CG has planned an initial $250 million investment in the new 4G network, Chairman Binod Chaudhary said in an interview.
It will also include free voice services but focus on data, online payment, and other services, he added.
Chaudhary, Nepal’s only billionaire with a net worth of $1.7 billion, according to Forbes magazine, also has overseas noodles manufacturing factories in neighboring countries such as India, Bangladesh and also in Serbia.
Huawei would be supplying equipment worth $100 million for the launch of 4G services, which could later be upgraded to 5G, said Chaudhary.
“Huawei has been working with the state-owned telecom company, and now they will be working with us,” he explained adding Nepal would ensure that business considerations were paramount when deals were made with companies from neighboring countries.
Chaudhary also said that the CG Group has entered into a deal with LifeCell, a subsidiary of Turkey’s Turkcell for technical and design service while Huawei will be providing the infrastructure.
Nepal Telecom is currently leading the market with a 51 percent market share by subscribers, followed by Ncell and Smart Cell. “We are confident to achieve one third market share in three-to-four years time as we will have the advantage to bring in the latest technology,” Chaudhary concluded.