Vodafone and China Mobile withdraw from Myanmar bid Vodafone and China Mobile have pulled out of the bidding for a telecoms license in Myanmar as they no longer expect the investment to generate sufficient return, in spite of the country of 60m people being one of the last undeveloped markets for mobile operators. The two companies had teamed up to pitch for one of the two licenses being tendered, forming one of the most heavyweight bids on the shortlist of 12 global telecoms groups selected for the next round by the Myanmar's government. In a joint statement on Friday, the two companies said that they had withdrawn from the process ahead of finals bids being tendered to the Myanmar authorities next week. A Vodafone spokesman said that the publication on May 20 of the final conditions required by the government had indicated that the Myanmar's telecoms license would not meet the internal investment criteria for either Vodafone or China Mobile. Vodafone had in particular hoped to win the licenses being tendered, given the chance to bring its mobile money platform, M-Pesa, to a country that lacks an established banking system. However, talking to the FT in April, Nick Read, Vodafone chief executive for Africa, Middle East and Asia Pacific, acknowledged the challenges in establishing a telecoms business in a country with little infrastructure, regular power shortages and a low level of technical and management expertise. There is also an ambitious timetable for the project given the requirement to build a national telecoms network by 2016. One person close to Vodafone said that the decision had not been steered by recent criticism of Myanmar from human rights groups. Other groups bidding for a licence include a consortium led by Digicel Group, the mainly Caribbean-based telecoms company, and backed by George Soros, Qatar's Ooredoo, Telenor, SingTel and MTN. The successful bidders will be announced at the end of June. The country remains attractive to other operators given a population of about 60m people where less than 10 per cent use a mobile phone. There are few other countries in the world that have the combination of such a large untapped market and the expectation of rapid economic growth. The successful bidders will be tasked with building, owning and operating national mobile networks for at least 15 years under a contract with the government. The infrastructure project is seen as a key stimulus to wider social and economic progress for the state. The process is the first big public contract outside of the natural resources sector that Myanmar's fledgling reformist government is opening up to international companies to attract foreign investment. Telecoms has been controlled by state-owned Myanmar Post and Telecommunications.