SMRT Corporation is working with would-be Singaporean mobile operator OMG to help it secure a licence and, should it be successful, has indicated that it could invest up to S$34.5 million (€24 million) in the company.
In a stock exchange filing on Wednesday, public transport operator SMRT said it has entered into an agreement "to work exclusively with OMG in connection with OMG’s bid for the fourth wireless telecommunications carrier licence in Singapore."
OMG is a vehicle created by in-building mobile networks specialist Consistel.
The agreement will see the two companies collaborate to build on synergies stemming from SMRT’s "extensive media presence and commuter reach."
SMRT also has an option to subscribe for shares in OMG, subject to it winning a licence and to successful due diligence, that could see it invest up to S$34.5 million.
The Infocomm Development Authority of Singapore (IDA) has been seeking to bring a new player into the market for more than a decade, but has thus far been unsuccessful. However, a year ago it carried out a public consultation with a view to introducing further competition, and since then a number of possible new entrants have come forward.
In addition to OMG, Internet service provider MyRepublic last month announced its intention to become the state’s fourth operator.
"We want to become Singapore’s fourth telco, and we want to focus on mobile data," the company said, on social media, adding that it wants to offer better value to customers than the cu rrent market norms.
"Should the company succeed in becoming a mobile operator, MyRepublic promises a return to the days of much larger and more generous data bundles," it said. "And to offer unlimited mobile data plans."
Singapore is due to auction more spectrum for 4G services in the next year or so. The allocation of a fourth licence could come at the same time or separately.
At present, Singapore’s 8.1 million mobile subscriptions – as of January this year, according to the IDA – are served by Singtel, StarHub and M1.
