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It makes its profits by serving wealthier urban customers.
But from the point of view of the Grameen family and its strong anti-poverty mission, the for-profit, urban-only Grameen Phone exists for only one reason: To fund, with its profits, the extension of cell phones into rural Bangladesh in order to provide entrepreneurial opportunity to Grameen Bank members through Village Phone. Yunus puts it, “Grameen Phone is merely what we need to do Grameen Telecom’s Village Phone.”Grameen Phone is a joint venture company comprising of: Telenor – A state-owned telecommunication company from Norway.
The People: The people who are making it happen – the employees – are young, dedicated and energetic.
All of them are well educated at home or abroad, with both sexes (genders) and minority groups in Bangladesh being well represented.
Grameen Phone knows that the talents and energy of its employees are critical to its operation and treats them accordingly.
The Technology: Grameen Phone’s Global System for Mobile or GSM technology is the most widely accepted digital system in the world, currently used by over 300 million people in 150 countries.
Historical Background of Grameen Phone Limited: Grameen Phone was offered a cellular license in Bangladesh by the Ministry of Posts and Telecommunications on November 28, 1996.
Telephony helps people work together, raising their productivity.
In contrast to the “island” strategy followed by some companies, which involves connecting isolated islands of urban coverage through transmission links, Grameen Phone builds continuous coverage, cell after cell.
While the intensity of coverage may vary from area to area depending on market conditions, the basic strategy of cell-to-cell coverage is applied throughout Grameen Phone’s network.
In 1996, Bangladesh was preparing to auction off private cell phone licenses to four companies. Muhammad Yunus (Grameen Bank’s founder) but completely independent of Grameen Bank, a -profit company called Grameen Phone, found a foreign partner, and put in a bid; Grameen Phone received one of the four licenses.
Grameen Phone’s total capitalization was US0,000,000, including around US million from IFC/CDC, and the Asian Development Bank (ADB).
The Vision“To be the leading provider of telecom services all over Bangladesh with satisfied customers, shareholders and enthusiastic employees”. aims at providing reliable, widespread, convenient mobile and cost effective telephone services to the people in Bangladesh irrespective of where they live.