mTouche invited to partner Thai firm in large telecom project
KUALA LUMPUR (April 11): mTouche Technology Bhd said today it has been invited by G.I.S. Park (Thailand) Co Ltd to be a solution and technology partner to jointly develop and operate the SMART4 public phone and wi-fi hub terminal for Thai state-owned telecommunications company TOT PCL.
In a filing with Bursa Malaysia today, mTouche said its subsidiary mTouche (Thailand) Co Ltd has signed a Memorandum of Understanding (MoU) with G.I.S. for the purpose.
The MoU is effective for a period of 18 months.
"This infrastructure project is to create a network covering several cities with free wi-fi services, which are part of the Thailand 4.0 initiatives," said mTouche.
G.I.S., a media company, was awarded the contract by TOT to implement the modernisation plan for a minimum of 10,000 SMART4 public phone and wi-fi hub terminal, covering five major areas in Bangkok and five provinces in north Thailand including Chiang Mai, Chiang Rai, Phitsanulok, Lampang and Sukhothai.
In a separate statement today, mTouche executive director Tang Boon Koon said the proposed project is expected to eventually generate over 20 billion baht (RM2.6 billion) in revenue.
"This will be through advertising partnerships and sponsorships for both the physical and digital advertising over the life of the eight-year contract, which has been signed between G.I.S. and TOT," he added.
Tang also said upon the successful implementation of the SMART4 public phone and wi-fi hub terminal in Thailand, similar concept will be introduced to other Southeast Asian countries that mTouche has presence in today. They include Malaysia, Indonesia, Vietnam, Singapore, Cambodia and Hong Kong.
According to mTouche, the proposed revenue sharing generated from the physical advertising through the LCD display and advertising light-box for G.I.S is 70% and mTouche Thailand the remaining 30%.
"The proposed revenue sharing generated from the sales and advertising partnership and sponsorship of the digital advertising through mobile applications and Wi-Fi access for G.I.S is 30% and revenue sharing for mTouche Thailand will be 70%," it said.
Mtouche shares closed down 1.5 sen or 6% at 23.5 sen today, bringing a market capitalisation of RM29.93 million.