True to offer international internet services; hopes to lower online costs

16 Aug 2006

True Corp has become the first privately owned Thai operator to be granted an international internet gateway (IIG) licence, reports the Bangkok Post. The five-year licence was presented yesterday to Sky Office, a wholly owned subsidiary of True, by the National Telecommunications Commission (NTC). True says it expects internet access fees to drop ‘dramatically’ as a result of its coup and the NTC said the licence award would contribute greatly to market competition because it would give operators more opportunities to lease better quality and more appropriately priced services. Sky Office will provide a connection service between IIGs and domestic internet gateways by using a submarine cable network and leased circuits from overseas. True chief executive Supachai Chearavanont said Sky Office will initially invest THB200 million (USD5.4 million) to establish connections with all internet networks, and will provide four services by the fourth quarter of this year: international IP transit, domestic internet exchange, international private leased circuits and international IP virtual private networks (IP-VPN). Mr Supachai said that the company’s plan could halve the cost of leasing bandwidth from CAT Telecom, currently THB700 million a year.

Thailand, True Corp