REDtone to spend MYR10 million in FY10/11

4 Nov 2010

Malaysian WiMAX provider REDtone has revealed that it plans to invest at least MYR10 million (USD3.24 million) on upgrading its services in its current financial year, which ends 31 May 2011. According to Bernama, REDtone’s CEO Zainal Amanshah has said that the company expects its WiMAX offerings to account for around 50% of total group turnover by 2015, up from the 25% it currently contributes. In its 2009/10 financial year REDtone recorded revenues of MYR79 million.

Alongside detailing its investment plans, REDtone also confirmed that it was preparing to submit its business plan for spectrum in the 2600MHz band to the Malaysian Communications and Multimedia Commission (MCMC) before the end of the year. ‘[The] MCMC has asked us to clarify on the infrastructure sharing plan and the Digital Malaysia Concept to be inserted in the business plan … We are also waiting for any other additional requirements from [the] MCMC to be included in the business plan before submitting it,’ Mr Zainal noted. The regulator confirmed earlier this month that it had handed the operator 2600MHz frequencies with the requirement that it roll out ‘4G’ wireless broadband services, likely using Long Term Evolution (LTE) technology, by 1 January 2013.

According to TeleGeography’s GlobalComms Database, REDtone was awarded its 2300MHz licence in March 2007, but it was not until August 2008 that the operator finally launched commercial WiMAX services in the Kota Kinabalu business district in the state of Sabah.

Malaysia, REDtone