365 back as MVNO on CAT Telecom

365 is back as MVNO. This time on CAT Telecom | Image: Company Logos

Thailand’s state-run telecom operator CAT Telecom has chosen 365 Communication Co to provide 3G wireless broadband services under the mobile virtual network operator (MVNO) model.

The 12-year agreement will allow 365 Communication to sell 50,000 mobile numbers on the 850-MHz frequency.

365 was one of the first five MVNOs in Thailand who obtained a Type I license from the National Broadcasting and Telecommunication Committee. 365 operated as a MVNO on Telephone Organization of Thailand (TOT) 2100 MHz 3G network, using a low-cost customer self-service model, utilizing social network as the main marketing and customer service channels.

However, in September 2013, 365 Communication’s agreement with TOT was terminated. TOT reasoned that 365 Communication was in financial troubles and struggling with cash flow and high debts and failed to place a guarantee of 3 million baht required for the purchase of each airtime allotment.

Surin Ritteepamorn, chief executive of 365 Communication, claimed that TOT terminated the agreement between the MVNO and TOT before the end of the contract, even though the MVNO provided a satisfactory value per SIM to TOT.

CAT Telecom’s President, Kittisak Sriprasert, announced back July 2013, that 365 Communication was one, of a handful of companies who had approached CAT Telecom to become MVNO on its 3G service. “365 Communication and M Link were the first two companies to approach us, and deals with them are expected to be finalized this year”.

According to CAT Telecom, 365 Communication was planning to provide a service for up to 300,000 users, and pay CAT Telecom THB 300 million ($10 million) a year under the new deal.

Author: Allan Rasmussen
Managing director at Yozzo. Allan is a MVNA/MVNE/MVNO specialist with hands-on experience from more than 60 projects in both competitive and greenfield markets. His expertise includes business case development, execution, launch and growth strategies. Advisor and consultant to mobile network operators, MVNA, MVNE, MVNO, National Regulatory Authorities, Government Agencies, Broadcast Companies, TMT Industry Associations, Innovation and Investment Banks.
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