Samart sees 'virtual mobile' role in future

Samart Corp plans to re-enter the mobile phone market as a virtual mobile private network operator, according to company president Watchai Vilailuck.

As a virtual network operator, Samart would not have to construct its own network, but would use the networks of state-owned TOT Corp and CAT Telecom.

Samart sold off its Hello 1800 mobile phone service to Shin Corp in 2000. Shin subsequently closed down Hello 1800 and transferred its customers to Advanced Info Service, the flagship of the Shin group and the country's largest mobile operator.

Mr Watchai said that as a virtual mobile operator, Samart would face little investment burden, as call traffic could be routed through Internet protocol (IP) networks.

"In the near future, the launch of an interconnection regime will also facilitate such services. The Telecom Business Act also explicitly allows the lease of networks to offer virtual network services," he said.

Samart would have to apply for a licence from the National Telecommunications Commission, which is expected to open applications sometime next year.

Samart yesterday announced third-quarter net profits of 163 million baht, a slight decline from 179.9 million in the same period last year. Nine-month profits totalled 1.79 billion baht, compared with 432.25 million a year earlier.

Total revenues in the third quarter rose 30 percent to 6.75 billion baht compared with the year before, thanks to stronger sales of mobile phones, TV radio antennas, satellite dishes and security and communication services.