7 - 13 September 2000

Internet Service Providers in Malta increase to 17

by Franco Aloisio

Seven new Internet Service Providers (ISPs) have been granted a licence since April, bringing the total number of ISPs in Malta to 17. The granting of the new licences is in line with government's policy to liberalise the telecommunications market.

The companies which have been granted a licence by the Telecommunications Regulator are Comtel International Ltd, Camline Internet Services, Webwaves Ltd, Telemail Ltd, and Next Generation IT Ltd. Two other companies - Novanet Ltd and Rim 2000 Malta Ltd - will be officially granted a licence in the coming weeks.

Not all of these licensed ISPs are new to the business. Many of them were POPs (Point-of-Presence), and some have been set up for quite a number of years. For instance Next Generation IT Ltd and Telemail Ltd were set up in February 1995. Novanet Ltd was set up in 1998, while the remaining companies were founded in the past six months.

The new ISPs will join the other providers who, at present, are offering Internet services. These are VOL, Keyworld, MITTS, Magnet International Ltd, Kemmunet, Melitanet, Terranet (Maltanet), Waldonet, Globalnet, and Fastnet.

Telecommunications Minister Censu Galea said the government agrees with the total liberalisation of the ISP market. "There are simply no restrictions in this particular sector of telecommunications sector. The wave of new internet licences is a clear indicator of the extent of liberalisation the Maltese government is envisaging in this sector," Mr Galea said.

Research into the new internet companies is quite revealing. For instance, the major shareholder and director in another new ISP - Rim 2000 Malta Ltd - is Vodafone Malta director Michael J. Bianchi. However, sources close to the company say RIM 2000 is in no way related to Vodafone. Moreover, Mr Bianchi is a non-executive director of Vodafone Malta.

One of the companies behind Telemail Ltd is the Demajo Group of Companies, which is teaming up with the international firm LiteWave Corp. to offer its own internet service.

The people involved in the new ISP Comtel International Ltd include former Maltacom chairman Tony Meilaq and Maltacom technical director engineer Saviour Zammit, who are both shareholders and directors of the company.

Speaking to The Malta Business Weekly, Mr Meilaq said his company plans to start offering its own internet service by the beginning of 2001.

"However, we have to await the outcome of the current dispute with the regulator over the open networks issue," Mr Meilaq said.

Engineer Saviour Zammit said that there is a strong potential for further growth of the internet in Malta.

"At present, there are around 23,000 internet accounts in Malta. We definitely see an internet market which is three times bigger than the current market," Mr Zammit said.