Newcall player in free market

By ADAM GIFFORD

Listed new generation telecommunications company Newcall Group has won a licence to operate in the $5 billion Singapore market, which will be completely deregulated from April 1.

Managing director Norman Nicholls said Newcall was one of only 10 operators licensed by the Singapore Government's Infocomm Development Authority (IDA) in the first round of licences.

The IDA evaluated applicants on their ability to deliver service and infrastructure, as well as commitment to quality of service standards.

"To be awarded a licence in the very first round is recognition of our solid performance as an innovative telco here in New Zealand," Mr Nicholls said.

Newcall was established in this country by Bangkok-listed Charoong Thai Wire and Cable Public Company to gain experience working in a competitive, deregulated market.

"The intention was always to use that experience to move into Asia when the markets there open up to competition. We see Singapore as a major opportunity," said Mr Nicholls.

Newcall already has a Singapore office for the wholesale telecommunications market in Asia.

Initially it will sell Newcall-branded prepaid calling cards for toll calls "on companies which give us best deal," but intends to quickly match the range of services it offers here. Prepaid cards account for less than 10 per cent of its New Zealand business.

Singapore has more than 1.5 million foreign workers in addition to its 3 million citizens, making its outgoing toll traffic the highest in the world.

Singapore has brought forward its telecommunications deregulation by two years.