In Singapore, fourth mobile network operator TPG secured a small tranche of 5G spectrum in November 2021, dashing hopes of sector consolidation in the near term. There have been some recent consolidations and partnerships between the large telco players in Singapore lately too, with StarHub acquiring a 50.1% stake in MyRepublic’s broadband business in Singapore.
DBS Group Research analyst Sachin Mittal seems excited for the regional telecommunications industry’s outlook this year. The way he sees it, last year could have been the inflection point and this year could finally be when the sector sees growth after five years of underperformance.
“After a long period of below-par returns, telecom sector is turning more exciting. Having underperformed for a long time, telecom sector outperformed in Indonesia and Thailand but still underperformed in Singapore in 2021,” says Mittal, who believes that this could be attributed to the mobile sector consolidation in Indonesia and Thailand.
