Shared Networks, how and when does it work?
The crucial point is trust and when that exists then the JV can be created. However there are still many issues to handle. The partners needs to agree on short and long term targets. Strategies, working methods and the technical plan to be set. Some examples; quality levels, cost levels, first movers or fast followers for new services/features? How to handle the geographical split?
The financial transaction model has to be set. For example how the company should pay for services utilized from the owners. Should costs be covered by usage or by sharing the Company´s costs. How and how much should the owners put in regarding resources in the company, i.e. money, infrastructure, time and expertise. How to finance the Company, bank facility or owner financing?
Company authorities, governance and organization and how to handle Regulatory issues such as international Roaming needs to be defined.
There are many other issues to discuss during the negotiation with the potential partner and also during the running of a Shared Network. Please contact me for further discussions, see the Contact page.
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