AIS broadband revenue set to grow

AIS broadband revenue set to grow

Mr Tee, left, and Mr Somchai pose as AIS-3BB is poised to become the market leader for fixed broadband.
Mr Tee, left, and Mr Somchai pose as AIS-3BB is poised to become the market leader for fixed broadband.

Advanced Info Service (AIS) expects its broadband service revenue to grow by 5-10% next year, following its takeover of Triple T Broadband (TTTBB).

The National Broadcasting and Telecommunications Commission (NBTC) board voted on Nov 10 to approve the takeover of TTTBB, known for its 3BB brand.

AIS chief executive Somchai Lertsutiwong said growth of the fixed broadband internet market during the pandemic was around 12-14% per year, followed by a slight decline as businesses and people returned to normal lifestyles.

Mr Somchai said AIS and 3BB are providing service separately through the brands AIS Fibre3 and 3BB Fibre3, but they have begun synergy of some operations.

AIS expects all IT backup and operations between the two companies to be seamlessly merged within two years, he said.

"The takeover deal is part of the development of three core pillars: digital infrastructure, cross-industry collaboration, and sustainable growth of people and society," Mr Somchai said.

In terms of broadband infrastructure, the deal with 3BB brings extensive benefits to Thai internet users, extending access to more than 13 million households, he said.

The deal makes AIS-3BB the market leader for fixed broadband, said Mr Somchai.

As of the third quarter, AIS had 2.38 million household subscribers, while 3BB had 2.31 million, True Online 3.79 million, and National Telecom 1.89 million.

"Penetration of the fixed broadband market in the country is 10.3 million household subscribers, or 50% of total households," he said.

"The rate is significantly lower than in other Asia-Pacific countries, such as 393 million in China, 44.7 million in Japan, 34.6 million in India, 23.3 million in South Korea, and 20.4 million in Vietnam."

THREE CORE PILLARS

Mr Somchai said AIS Fibre has strength in the broadband market in Bangkok and adjacent cities after nine years of operation, while 3BB is strong in the provincial market following its 20 years of experience.

He said the synergy strategy of AIS Fibre3 and 3BB Fibre3 involves three core pillars.

First, the broadband infrastructure is expected to reach everyone and surpass standards in terms of speed, strength and accessibility, making it the most comprehensive nationwide network, said Mr Somchai.

"The second pillar is AIS's vision to empower every home, shop and business to reach the future they desire at any given moment through innovations that make every use case achievable," he said.

Finally, the synergy offers more entertainment experiences to customers at home. From engaging content to games, there are a plethora of entertainment options, coupled with everyday privileges that are readily available for consumers, said Mr Somchai.

Tee Seeumpornroj, chief executive of AIS's broadband business, said the collaboration has resulted in the most robust and stable internet infrastructure.

The coverage extends more than 131,000 square kilometres, reaching 77 provinces, 923 districts, and 5,849 sub-districts.

With the capacity to serve more than 9.5 million network ports nationwide, the company connects and creates an internet network that allows customers to experience speeds of 1Gbps in every room of their homes, Mr Tee said.

He said AIS Fibre3 and 3BB Fibre3 provide innovative home internet solutions designed to meet every need, including cloud PC services for everyone at home, and specially designed packages for small and medium-sized enterprises, with the added security of the network and fast lanes for customer service.

The two brands also offer exclusive privileges to customers through the Point platform, said Mr Tee.

This platform allows users to redeem special rewards through a vast network of partners, including more than 1.8 million retail stores and leading department stores, as well as 30,000 partner stores nationwide.

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