Telecoms & IT
From The Report: Thailand 2016
View in Online Reader

The Thai telecom market is changing quickly. 4G has been introduced and a new player may now be competing, bringing the total number of major operators to four. In the short term, telecoms must pay for their spectrum, and going out they will be developing their networks and building their customer bases. This is sure to be a challenge in terms of fund-raising and profitability, and it seems that creative solutions in terms of infrastructure sharing and financing are on the cards. A convergence of factors, including the rollout of 4G nationwide, government support and better user understanding of the offerings is resulting in improved IT and telecoms infrastructure and increased demand.

Articles from this Chapter

Overview

Competition breaks out: New products, services and technology enter the market
OBG
plus

The Thai telecoms sector is transforming in a comprehensive way. Auctions were held in late 2015 that will bring new and powerful technology to the market, introduce much-needed competition to the sector and finally end the problematic concession system, which has created uncertainty and may have discouraged some investment. It is not clear yet whether all the players will be able to afford the 4G licences that were auctioned, or whether they will be able to make the capital investments required…

Analysis

Record-breaking 4G: The new spectrum creates fresh opportunities for players
OBG
plus

In late 2015 two 4G auctions were held in Thailand and three companies, Advanced Info Service (AIS), True and newcomer Jasmine International, were awarded spectrum. With $6.4bn in bids, and an additional player being added to the market, the exercise was seen as a great success. The government will receive a considerable influx of funds, while consumers will benefit from lower prices and more innovative services. Some concerns have been voiced, however. Given the huge outlay on spectrum and the additional…

Overview

Going digital: A take-off period is resulting in improved infrastructure
OBG
plus

With the introduction of nationwide 4G services following the late 2015 spectrum auctions, the IT sector in Thailand received a significant boost. Improved connectivity is increasing usage and helping the development of electronic products and services. In particular, an e-commerce boom is gaining steam (see analysis). More local app development is also possible, as is the creation of domestic social networking platforms and payment systems. At the same time, businesses and government are starting…

Analysis

On the rise: The e-commerce subsector is quickly expanding
OBG
plus

E-commerce in Thailand is growing rapidly and is set to become a main driver of internet development. To a great extent, 4G is responsible for the transformation, as it will be bringing faster connectivity to a large, nationwide pool of consumers. Estimates place e-commerce spending growth over the next five years at 18.2%. The subsector is already quite large. The Electronic Transaction Development Agency estimates e-commerce totalled BT2.1trn ($63.2bn) in 2015. The largest piece was generated by…