[November 17, 2009] Samart I-Mobile banks on 3G Tweet Nov 14, 2009 (Bangkok Post - McClatchy-Tribune Information Services via COMTEX) -- Samart I-Mobile (SIM), the handset flagship of Samart Corp, expects a strong growth comeback next year, to be fuelled by 3G services operated for TOT Plc. SIM will be a so-called mobile virtual network operator (MVNO) for the state telecom enterprise, which plans a commercial 3G launch in Bangkok on Dec 3. Samart I-Mobile plans to market the service under a package that would include its i-Mobile brand handsets and applications to compete directly with existing ADSL service providers. Targeted customers will be existing data users who want mobile high-speed broadband internet service. Applications would include video messaging, video chat and social networking. "We expect the MVNO business will contribute 10 percent of Samart I-Mobile's revenue next year," said Watchai Vilailuck, the president of parent Samart Corp. In addition to Samart I-Mobile, TOT is considering Loxley, 365 Communication, IEC International and M Consultant Corporation to offer the 3G services. However, Samart I-Mobile is the only company to have obtained a five-year MVNO licence from the National Telecommunications Commission (NTC). A mobile virtual network operator is an operator that does not have its own spectrum and usually does not have its own network infrastructure. Instead, it makes business arrangements with traditional mobile operators to buy minutes of use for sale to its own customers. Jong Diloksombat, chief operating officer of Samart I-Mobile, said the company planned to spend 40 million baht to promote its service. It has entered partnerships with handset makers such as Samsung, LG, Sony Ericsson and HTC as well as the computer maker Acer to promote the high-speed internet service. "Given our attractive tariff plan offering, variety of devices, own-developed broadband content and applications and larger outlet network, we are in the best competitive position," said Mr Jong. Samart Corp yesterday reported consolidated revenue of 4.499 billion baht in the third quarter, up 10 percent from the same period last year. Net profit rose 159 percent to 139 million baht, helped by a big rise in subsidiary Samart Telcoms' earnings from government projects. Nine-month net profit dipped to 305.18 million baht from 322.6 million last year. Samart I-Mobile reported third-quarter revenue of 2.52 billion baht, down 12 percent year-on-year. But net profit rose 89 percent to 34 million, thanks to reduced accumulated inventory and costs. Nine-month net profit was 90.42 million baht, down from 199.16 million in the same period last year. Samart Telcoms, meanwhile, said its net profit surged 250 percent year-on-year to 92 million baht and revenue rose 90 percent to 1.4 billion baht. Mr Watchai said he was confident of a 20 percent increase in revenue growth this year, with continued high growth in 2010. SAMART shares closed yesterday on the SET at 6.15 baht, down 10 satang, in trade worth 98.33 million baht. SIM shares were unchanged at 1.76 baht, in trade worth 4.8 million. To see more of the Bangkok Post, or to subscribe to the newspaper, go to http://www.bangkokpost.com. Copyright (c) 2009, Bangkok Post, Thailand Distributed by McClatchy-Tribune Information Services. For reprints, email [email protected], call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA. [ Back To TMCnet.com's Homepage ]