Opportunities for telco players to tap into Asean broadband market

Opportunities for telco players to tap into Asean broadband market

KUCHING: The low regional broadband penetration rates in the Asean region represents opportunities for telco players such as Telekom Malaysia Bhd (TM) and Time dotCom Bhd (TDC) to tap into growing demand for international bandwidth as broadband penetration rises.

The telco players shared similar views on this, in particular on the Indo-China countries (Cambodia, Laos, and Vietnam) which have very low broadband penetration rates.

According to Lim Tee Yang of RHB Research Institute Sdn Bhd (RHB Research), Indo-China countries have experienced very strong demand for international bandwidth, growing by at least 60 per cent on a compound annual growth rate (CAGR) basis from 2007 to 2011.

Going forward, forecasts from International Monetary Fund (IMF) and telecommunications market research and consulting firm TeleGeography indicated that Vietnam and Thailand expected to achieve a 40 per cent CAGR from 2012 to 2018.

 

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