True Corp unveils ambition to be Thailand's leading telecom-tech company

The execs revealed the company’s vision to become Thailand’s leading telecom-tech company based on the strengths of the amalgamated companies. They were speaking at a press conference at Samyan Mitrtown in Bangkok.

After the merger, True and Dtac will account for 54% telecom market share, followed by AIS with 46% market share.

After getting the green light from the National Broadcasting and Telecommunication Commission, True, under the CP Group, Thailand's largest private firm, joined hands with Dtac, owned by Telenor Group, a leading Norwegian telecommunications company, to form a new company under an equal partnership scheme.

The new corporation, now known as "True Corporation Public Company Limited”, aims to ignite Thailand’s limitless possibilities with broader access to digital connectivity, technology investments, and connected services.

Even though it is an equal partnership, they are retaining the company’s name as "True Corporation".

"True has a larger product portfolio, which may make it easier to be the brand that buyers think of," said Manat Manavutiveth, chief executive officer of True Corporation Pcl.

CP and Telenor aim for an equal ownership stake of around 30% in the new company.

"We balanced the representation of Dtac and True in the top management," he added.

The merged company aims to improve Thai people's lives, bridge the digital divide, and facilitate the digital transformation of local businesses.

With 33.8 million TrueMove H users and 21.2 million Dtac members, the company will be the market leader in mobile subscribers. Furthermore, the company has 5 million TrueOnline users and 3.2 million TrueVision users.

"Our vision is to be Thailand’s leading telecom-tech company, transforming the lives of Thai people and propelling businesses to the forefront of the digital economy. Thai consumers will benefit from this amalgamation. The synergy will lead to fair and balanced competition, which is ultimately in customers’ interests," Manat added.

"The firm will promote a vibrant digital ecosystem, sustainable development, human rights, and greater access to connection and digital technologies," he continued.

True Corporation aims to combine the best of True and Dtac, as well as the global expertise of its key partners, CP Group and Telenor Group.

True Corporation's greater scale will allow it to gain synergies in its network, digital infrastructure, IT systems, purchasing, sales, and marketing, retail channels, and operational costs, Manat said.

In addition, True Corporation will invest in digital startups, which are critical to the expansion of the digital economy. The company hopes to raise 7.3 billion baht for its venture capital fund with partners, he revealed.

This includes an innovation hub that will provide the framework and infrastructure to allow the creation of "unicorns" in Thailand (startups valued at over US$1 billion).

The innovation hub would bring together cutting-edge technologies from Telenor Group, CP Group, worldwide technology partners, and Thai digital entrepreneurs, he said.

"Our mission is to build a strong tech ecosystem of digital talent and capabilities to provide innovative services that improve our customers’ lives and support sustainable development," said Sharad Mehrotra, deputy chief executive officer at True Corporation Plc.

"Our marketing strategy is to be highly competitive for client attention with both mobile and fixed-line connectivity, TV subscriptions, and digital services that bring even more customer benefits," Mehrotra continued.

The new company intends to be the undisputed network leader, with plans to develop 5G coverage to cover 98% of Thailand's population by 2026.

The merger allows Dtac users access to True's 5G service on 2600MHz, while True customers may use Dtac's 4G and 5G service on 700MHz. The network roaming service is now accessible in select places and will be available across the country by mid-March.

"We're strongly committed to being among the finest employers in Southeast Asia through an organisational culture that will attract experienced specialists and digital talents looking to grow in a fast-paced tech company that values diversity and inclusion," Manat added.

As part of its strong ESG standards, the firm aims to be carbon neutral and waste-free (including electronic waste) by 2030. It aspires to be a net-zero greenhouse gas organisation by 2050.

Social media continues to engage in animated discussion about the pros and cons of the merger of True and Dtac.

There are fears that lesser competition in the market place could affect customers.

Before the amalgamation of True and Dtac in 2022, AIS paid $908 million for a 99.87% stake in 3BB (Three Broadband), leaving only two competitors — True and AIS.

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