TOT has selected Total Access Communication (DTAC) as partner to develop its fourth-generation wireless broadband service on the state telecom agency’s 2.3-gigahertz spectrum.
According to DTAC’s filing to the Stock Exchange of Thailand yesterday, it will enter contract negotiations with TOT and expects to reach a final agreement in the fourth quarter of 2017.
DTAC chief executive officer Lars Norling said TOT had advised his company that the agency’s board had approved entering a contracting process for the provision by DTAC of wireless service on the 2.3GHz band.
“We will thus enter such contract negotiations with TOT. With the high and growing demand for mobile data services, Thai consumers will get greater benefits from this business collaboration in providing wireless broadband connectivity with quality services. This will also contribute to the nationwide efficient digital infrastructure development strategy of the ‘Thailand 4.0’ policy,” Norling said.
TOT’s holding of the 2.3GHz spectrum is valid until 2025.
DTAC, through its two subsidiaries DTAC TriNet Company and TeleAssets Co, is among several major telecom operators that proposed becoming TOT’s partner for 2.3GHz services.
As part of the proposal, TeleAssets will lease network equipment and provide operating and maintenance services on said equipment to TOT. DTAC TriNet will purchase 60 per cent of the total network capacity.
DTAC will build a network based on this spectrum and have the right to utilise up to 60 per cent of the capacity of this network. DTAC TriNet has offered TOT an annual fixed payment of Bt4.510 billion, under certain conditions.
DTAC was eager to clinch this partnership with TOT given that, unlike its two rivals Advanced Info Service and True Corp, it failed to clinch a new spectrum licence at auctions by the National Broadcasting and Telecom-munications Commission of bandwidth on 1,800 and 900 megahertz.
Republished with permission from The Nation