Broadband gets a boost in Thailand - Company Business and Marketing

Thailand's fledgling broadband Internet market was given a boost with the entry of telecoms conglomerate TelecomAsia Corp. (TA) of Bangkok, which launched both asymmetric digital subscriber line (ADSL) and cable modem services.

ADSL access has been available through Bangkok-based United Broadband Technology Co. (UBT) for the past year, but take up has been slow due to high tariffs coupled with a weak economy. While prices for dial-up access have steadily fallen over the past 12 months, broadband until now has suffered from a lack of competition.

But if prices come down, the demand is there, according to John Calvert, a Thailand-based analyst with Gartner Group, Inc. "Thailand is certainly ready for broadband, but not at the prices and bandwidth currently being offered," he said. "Until the price [and] performance improves and availability increases, broadband will not make any significant inroads in the local Internet market."

For TA, the push into broadband is part of an ongoing diversification that will see it offering everything from cellular to dial-up Internet, in addition to its core fixed network offering.

TA is the only private operator of fixed network services in Bangkok, with the state-run Telephone Organization Thailand (TOT), of Bangkok, also offering fixed-line service in the capital.

Over the last 18 months, TA president and chief executive Supachai Chearavanont has made it clear that the company should offer services in every sector. TA is also building a cellular network in conjunction with UK-based Orange plc. "We will soon be ready to offer a complete package," said Mr. Supachai.