S.Korea’s mobile service provider SK Telecom has announced a strategic alliance with Malaysia’s Packet One Networks.
S.Korea’s mobile service provider SK Telecom has announced a strategic alliance with Malaysia’s Packet One Networks. Packet One Networks is the 4G WiMAX Telco arm and subsidiary of Green Packet Berhad.
SK Telecom will invest USD100 million and become the second largest shareholder of P1, with approximately 25% stake, and secure two seats on the Board of Directors.
According to company website, The SK Telecom investment would be used to continue P1’s nation-wide WiMAX rollout over the next 2-3 years , to accelerate and expand its customer acquisition activities and for general corporate purposes. The investment will help P1 in achieving 65% population coverage by 2012.
“The Malaysian market has great potential for growth and the partnership with P1, the leading WiMAX provider of Malaysia, is an extremely attractive opportunity for SK Telecom. The alliance will allow SK Telecom to rise as a global telecommunications company based on its cutting edge technology and innovative marketing tools,” said Ki Haeng Cho, President of SK Telecom’s GMS CIC (Company In Company) at the signing ceremony.
SK Telecom plans to make available to P1 its substantial technology and network expertise as well as its customer products portfolio, helping P1 to achieve its goal of a robust, high performance network and an outstanding level of customer service.
“P1’s strategic alliance with SK Telecom will significantly enhance P1’s ability to serve the Malaysian broadband user needs with 4G WiMAX technology. Moreover, having access to SK Telecom’s expertise as a leading global Telco, supports our strategic agenda to be the leading 4G WiMAX Telco in Malaysia and eventually in the region.,” CC Puan, Group Managing Director and CEO of Green Packet Berhad.
Since its commercial launch on August 19, 2008, P1 has acquired more than 175,000 subscribers (at end March 2010) and recorded USD44 million of yearly revenue in 2009.