TM Net aims to increase broadband users

Business Times:

INTERNET service provider TM Net Sdn Bhd is working towards increasing its broadband customer base by 400,000 this year, primarily by converting dial-up users into broadband customers.

The service provider has 495,000 broadband subscribers as at end of last year.

The company also hopes to post double-digit growth in its revenue, driven by broadband growth, said chief executive officer Michael Lai.

"We are optimistic of growth in 2006, spurred by the high demand for our services. In line with the demand, we also see vast potential in the content segment.

"Once there is adequate, compelling and relevant content offered, it will further drive take-up rate and encourage Malaysians to 'broadband their lives'," Lai said in an interview recently.

Although TM Net's actual sales is not available, according to parent company Telekom Malaysia Bhd's 2005 financial results, Telekom has posted RM703 million in revenue from Internet and multimedia segment.

Converting its more than two million dial-up users can be a challenging task, Lai said, since the bulk of these users spends an average of RM20-RM30 a month, and switching to Streamyx (TM Net's broadband service) would translate into additional spending.

To make Streamyx more appealing to the market, TM Net has introduced a RM20 package to the light users last month. Before the RM20 package was launched, the lowest offering by TM Net was the RM44 package.

With the RM20 package, dubbed Streamyx Basic 384k, customers will be given 10 hours of surfing time, with the download speed of 384k and upload speed of 128k. At RM2 per hour, it is competitive against most cyber cafes in Klang Valley.

Related post: streamyx, broadband, internet, isp, tmnet, business