Tuesday, June 29, 2010

Time to boost fixed broadband mart share

By Zuraimi AbdullahPublished: 2010/06/29



TIME dotCom Bhd (5031) will focus on increasing market share in the fixed broadband business under the second phase of its transformation plan.



Phase One of the initiative was completed when Time put its house back in order and reversed its losses in 2009, chief executive officer Afzal Abdul Rahim said.



For the next two years, the company wants to expand its fixed broadband offering to retail and corporate users to boost market share, Afzal said.



The fixed line broadband market is estimated at RM2.5 billion to RM3 billion a year, with Time having a less than 5 per cent share.

"We want to grow to something a bit more interesting than under 5 per cent," he told reporters after Time's annual general meeting in Kuala Lumpur yesterday.



The company was looking at chipping away market share in vertical sectors such as wholesale, corporate and government, he added.



Afzal said Time will spend more than RM100 million in capital expenditure this year, particularly on network rehabilitation and coverage expansion.



The data business consisting broadband, Internet and managed services will remain the company's main growth engine.



He said the data business accounted for 60 per cent of Time's revenue in 2009.



Time was back in the black in the year ended December 2009 with a net profit of RM33.1 million on a RM286.8 million turnover.



In 2008, it made a net loss of RM949.63 million on a revenue of RM286.52 million.



The company posted its fourth consecutive quarter of profits in the first quarter to March 2010, with the data business growing 14 per cent year-on-year.



Time plans to introduce its 50Mbps fibre-to-the-home (FTTH) connectivity to other areas in the Klang Valley.



It first launched the service dubbed Time Fibre Broadband at Mont Kiara in Kuala Lumpur early this year.



Afzal said Time Fibre Broadband has been well received.



The service, with a monthly fee of RM150, has captured about 2 per cent of the overall broadband subscribers in the area.



Time aimed to increase this to 20 per cent, he added.

http://www.btimes.com.my/Current_News/BTIMES/articles/taing/Article/

No comments:

Post a Comment