Dr. Amornthep Chawala, Executive Vice President Executives of the Research Office and investment advisor, CIMB Thai Bank Public Company Limited, commenting on the merger deal of True Corporation Public Company Limited or True with Total Access Communication Channel Public Company Limited or DTAC, the latest broadcasting committee television business And the National Telecommunications Commission (NBTC) has prepared a Focus Group or a limited hearing. The first round ended on May 9. and prepare to prepare the next Focus Group to bring together the report and include the agenda of the NBTC board meeting to vote by reporting the documents of The NBTC, previously studied, stated that There is a possibility that the long-term service price will be 20-30% more expensive from the merger, leaving the market operators from 3 to 2 already.
Dr. Amornthep said Overall, such amalgamation will increase the quality of service. Consumers benefit. This merger can be viewed from both a positive perspective. and the angle that causes concern But if there is good post-merger supervision It can alleviate concerns.
On the plus side, the merger will make the combined entity lower costs as it reduces redundant costs. And should use the money from the cost that can be reduced to invest in the development of new products or services. provide variety or increase the choice and benefit the consumer including the nation, which may make the telecommunication industry with modern technology And providing more quality services in the future. In addition, it may make small operators have the potential to be strong enough to compete with the big ones on an equal footing. without a gap from the market share that is very far apart like today
Dr. Amornthep said But be careful regarding laying off employees in redundant positions following the merger. If True and dtac announced a clear policy to take care of employees It should be able to alleviate concerns. Including the use of reduced costs to benefit the shareholders. or business executives Instead of investing in development to benefit consumers
for another perspective Dr. Amornthep said The merger will result in fewer players in the market, leaving consumers skeptical and uncertain regarding whether there will be any real competition. Because entrepreneurs of similar size, both of them may be hung up on each other, it is possible. If the two players hang on both the price and the service Does that mean consumers are at a loss and have no choice? Because many industries in Thailand have few players. There was a problem of competition and monopoly. causing consumers to lack choice While having multiple players should make the competition more intense. in order to survive and possibly catch a specific group of customers In the case of small entrepreneurs, however, the importance is on NBTC in oversight following the merger
“The merger deal between True and DTAC The important issues are probably the Regulator (Director) and relevant government agencies, such as the NBTC and the Ministry of Commerce. must ensure that consumers can trust that If there is a merger, then there will be no player arguing. causing the consumers to lose benefits by having to set strict rules or rules big player The market shares the most in the market and the business tends to expand more and more. until being able to occupy the market too high until affecting small players This prevents one player from becoming too large. and have the opportunity to dominate the market.”
