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Jaring aims to cut leasing costs

15 Jul 2009

Malaysian state-owned broadband provider Jaring has said it is seeking to reduce its operational costs within two years in a bid to reach profitability, the Business Times reports. The operator plans to build more of its own infrastructure, which it believes will allow it to save on the costs of leasing from other telcos, although it has not said how much it will invest in expansion. Jaring hopes to have reduced leasing costs to approximately 30% to 40% of its total revenue within two years; at present it claims more than half of its revenue is used to pay for access to other operators’ infrastructure. The company generated total revenue of MYR115 million (USD34.7 million) in 2008 and said it expected to maintain this level in 2009 and 2010.

Malaysia, Jaring

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