The trend is worldwide. It is interesting to note that what is happening right now ion the most developed markets is happening, cumulatively, in the developing countries' markets.
Compete with wireless pushes telcos to invest
TT&T set for B2bn expansion
Fixed-line business role to be reduced
bangkokpost.com
Srisamorn Phoosuphanusorn
TT&T Plc plans to invest about two billion baht next year in a strategic shift to diversify beyond fixed-line telephone operations into a variety of data communication services.
The provincial fixed-line telephone operator is also looking for a strategic partner to help fund new businesses with good potential and create synergy. Talks are now under way with several prospective investors, both local and foreign.
``We want to change our corporate image from the traditional fixed-line operator to a provider of various data communications and value-added services, said Prachuab Tantinon, the company's newly appointed president and chief executive officer.
Mr Prachuab, who succeeded Phisit Leeahtam, also said TT&T sought to reduce the contribution of fixed-line telephone services to 30% of its total revenue, from 50% currently.
He said TT&T had suffered a 20% drop in revenue as a result of aggressive price promotions by TOT Corporation and CAT Telecom, with average revenue per user declining to between 500 and 600 baht a month.
Discussing the company's finances, Mr Prachuab said his policy during his three-year term would not include prepayments of debt, as the company had undertaken in the past to reduce its substantial burden.
Instead, he said, TT&T would further invest two billion baht, using operating cash and cash flow, in new business services such as Internet, broadband and data communications. Added revenue from these new sources would put the company in a better position to handle regular debt service obligations.
TT&T's debt consists of a syndicated loan of 28 billion baht with a 15-year term, involving a total of 20 creditors.
``We are no longer keeping a low profile. We need to compete head-on with the mobile phone operators to survive in the business,'' he said.
TT&T shares closed yesterday at 4.88 baht, up 26 satang or 5.6%, in trade worth 311.94 million baht.
CAT agrees to co-operate with TOT
bangkokpost.com
Low-cost broadband plan also approved
Komsan Tortermvasana
CAT Telecom says it is ready to co-operate with TOT Corporation's plan to launch an international call service next year by offering linkage circuits.
TOT has proposed the service to the Information and Communications Ministry, which has called on the two state agencies to co-operate in providing international call service
Lt-Gen Anusorn Dhepthada, chairman of the CAT Telecom board, said the rates CAT planned to offer to TOT Corp would be cheaper than what Malaysian operators have quoted.
TOT earlier leased international circuits from five operators in Malaysia.
Lt-Gen Anusorn also said that the board had endorsed a proposal to reduce international call package services, called One Connect, to corporate customers with billings on international calls amounting to more than one million baht a month, starting on Dec 15.
The new rates will be cheaper than those in Singapore, he added.
Thailand is competing heavily with Singapore to be the regional centre for international companies.
He said rates per minute to the United States would be lowered to nine baht from 22 baht, the United Kingdom from 30 to 14 baht, Switzerland from 30 to 23, Norway from 30 to 23 baht, Australia from 22 to 14 baht a minute and Japan from 30 to 21 baht.
In addition, if any rates in Singapore are cheaper, CAT Telecom will use the Singapore rates, and in some cases even undercut them, he said.
The CAT Telecom board also endorsed a 13-billion-baht investment to provide broadband Internet at just 900 baht a month with unlimited hours in response to a policy set by the ICT MInistry.
The service will be available within a year and will serve one million users in the three Phuket, Khon Kaen, Chiang Mai and Greater Bangkok. |
