Orange Egypt has submitted a request for a licence to operate fourth-generation mobile phone services in the country, the telecom regulator said on Thursday, the latest twist in a stand-off between operators and the regulator over the terms.
Egypt is selling four 4G licences as part of a long-awaited plan to reform the telecoms sector and to raise money for stretched government finances.
The country's three existing mobile phone operators - Orange, Vodafone and Etisalat - initially all turned down the 4G licences saying the amount of spectrum on offer was not sufficient to allow them to offer the service efficiently.
Orange Egypt, a subsidiary of French telecoms group Orange , said on Thursday however it had informed the regulator of its desire to "renegotiate acquisition of a 4G license in light of new terms."
Its statement came shortly after the regulator announced that operators which paid for the licence entirely in dollars would be given priority in buying additional spectrum.
The regulator had originally required the companies to pay half the cost of the licence in US dollars, which are scarce in Egypt due to a long-running economic crisis.
The regulator said the company had until October 23 to submit a formal offer.
Telecom Egypt, the state's fixed-line monopoly, was the only company to take up the original offer, buying a 4G license in August for 7.08 billion Egyptian pounds ($797 million) to enter the mobile market directly for the first time. The company later offered to buy additional spectrum not acquired by other operators.
The regulator said it would reconvene on October 23 to discuss additional options for rolling out 4G services that include holding an international auction for the remaining licences and selling additional frequency to Telecom Egypt.
Kuwait's Zain, China Telecom, Saudi Telecom and Lebara KSA have all expressed interest in acquiring Egyptian 4G licences if the established companies bow out.
Egypt needs hard currency after burning through its foreign exchange reserves as political turmoil hit foreign investment and tourism since a 2011 uprising.