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Thai Analysts Forecast Rocky Start for Mobile-Phone Newcomers.
Byline: Nuntawun Polkuamdee
Dec. 4--Local analysts say the new entry of Thai Mobile and Hutchison CAT is unlikely to affect the revenues or market share of the three main mobile-phone players.
The current players -- Advanced Info Service, TelecomAsia and United Communications -- dominate the mobile sector with a market share of nearly 90 percent.
While stiff competition has led to declining handset revenues and shrinking margins, analysts say the main players' profit and growth prospects remain relatively bright for the near-term.
Thai Mobile, a joint venture 58 percent held by TOT Corp and 42 percent by CAT Telecom, is expected to formally launch its GSM 1900 service in Bangkok in the first quarter of 2003.
In June 2003, Hutchison CAT, 65 percent held by Taiwan Mobile and the rest by CAT Telecom, is expected to follow with its own CDMA 2001 service in 25 provinces.
Padermpop Songkroh, vice-president of Bualuang Securities, said the two newcomers would boost competition only slightly in the mobile sector.
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