Cairo – Mubasher: Telecom Egypt (TE) has signed a three-year agreement with Orange Data to provide infrastructure and transmission services.

The agreement was signed by TE’s managing director and CEO Ahmed El Beheiry and Orange Egypt’s CEO Jean-Marc Harion, TE said in a press release.

A per the agreement, TE is not projecting an immediate financial impact as the new services will be replacing old services provided on the copper network, the company added, pointing out that the impact will be “visible” in the medium term.

TE, listed on the Egyptian Exchange (EGX), also noted that the pricing of the new services will be based on capacity.

The deal will allow the state-owned landline monopoly to better monetise its current investments in the fiber network with a certain mechanism, the company highlighted.

“The new pricing mechanism introduced allows the ISPs in the market to upgrade to bitstream services instead of the old local loop unbundling services and at the same time provide TE with a charging tool to capitalize on the expected growth in the data market,” TE continued.

Commenting on the agreement, El Beheiry said: “The agreement is important to TE as it allows it to grow the strategic partnership with Orange Egypt and the volume of business between the two companies.”

“It [the agreement] also boosts TE’s leadership in the infrastructure services and allows it monetise the huge investments it has undertaken over the last few years to modernize its network."