Redtone inks Ethernet agreement with TM

Redtone inks Ethernet agreement with TM
Business & Markets 2013
Written by Shalini Kumar of theedgemalaysia.com
Tuesday, 02 April 2013 18:53


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KUALA LUMPUR (Apr 2): REDTONE INTERNATIONAL BHD [] has teamed up with Telekom Malaysia Berhad (TM) in a wholesale ethernet deal that is expected to further drive the growth of REDtone’s data business.

The agreement between REDtone’s wholly owned subsidiary, REDtone Telecommunications Sdn Bhd, and TM will provide REDtone instant access to all TM's Metro-E infrastructure nationwide.

In a press statement released today, REDtone’s group CEO, Lau Bik Soon, said its latest collaboration will help elevate the company’s data and broadband business to a higher level of growth while solidifying its position as a broadband expert for organisations.

“As the largest infrastructure provider in Malaysia, TM’s Metro-E landings are extensive with many situated in commercial areas where REDtone’s core data customers are. This gives us instant access to a whole new pool of potential corporate customers, and will help us to achieve our goal of a 200% increase in our data revenue for the current financial year,” said Lau.

In its financial year ended May 2012, its data segment contributed RM25 million or 23% to REDtone’s total revenue. The company is aiming for a 200% jump in its data revenue to RM80 million this financial year.

He added that through the tie-up with TM, REDtone will now have the opportunity to provide high capacity Metro-E as an additional offering to its corporate customers numbering more than 10,000 currently.

TM’s executive vice president of global & wholesale Mohamad Rozaimy Abd Rahman said, “Today’s partnership further strengthens our position as a neutral wholesale service provider as we are keeping our promise of open access to all MCMC-licensed access seekers. Through this collaboration, TM is enabling REDtone to widen its connectivity to a larger number of end users with its data services.”

“This is also one of TM’s collaborative efforts with other industry players in supporting the Government’s initiative to increase the broadband penetration in both urban and rural areas, and achieving the target of 75% household broadband penetration by end of 2015 as outlined in the National Broadband Plan,” he added.