Logo of Phnom Penh Post newspaper Phnom Penh Post - Beeline ring an upbeat tone

Beeline ring an upbeat tone

Content image - Phnom Penh Post
A Beeline employee attends to customers at the company’s service centre in Phnom Penh’s Daun Penh district last year. Growth has been ‘healthy and sustainable‘ since the company’s 2009 launch.

Beeline ring an upbeat tone

110308_09
A Beeline employee attends to customers at the company’s service centre in Phnom Penh’s Daun Penh district last year. Growth has been ‘healthy and sustainable‘ since the company’s 2009 launch.

Mobile operator Beeline has not ruled out a possible acquisition after enjoying “healthy and sustainable” growth since its May 2009 launch in Cambodia, according to General Director Gael Campan.

Despite parent company Vimpelcom stating that third quarter results for its operations in Cambodia and Vietnam last year fell “below expectations”, Campan said that the firm is “growing well and our growth is healthy and sustainable”.

He agreed with commentators that the domestic service provider market was overcrowded, but said there was no “crystal ball or algorithm” to decide the right number of operators in any industry or country.
“Generally speaking there are always opportunities to buy or sell; it is just a matter of price.”  he wrote.

The company behind the Beeline brand is attempting to link with providers in other parts of the world.

Beeline’s parent company Sotelco is majority owned by New York-listed Vimplecom Ltd. It is involved in an ongoing merger with telecommunications assets owned by Egyptian billionaire Naguib Sawiris, though some shareholders publicly oppose the deal.

“This deal would allow Beeline Cambodia to be part of the fifth largest telco group worldwide, leveraging this in terms of best practices sharing and organisation…,” Campan wrote.

In Cambodia, Beeline is aiming at a younger demographic as a market for its services. It has recently introduced handset models that are dual SIM – meaning a user handset can swap back and forth between two different service providers.

“Youth is the core of the Cambodian market, they set trends and they like to experiment,” he said.

“[Cambodians] are always aware about services and promotions from all operators. It is hard or pointless to make them use only one operator’s SIM.”

According to a Ministry of Posts and Telecommunications presentation earlier this year, Beeline does not have a 3G licence. But Gael Campan said it operates its EDGE technology at 2.75G speed, and is available in all 24 provinces. Part of Beeline’s expansion was facilitated through sharing communication towers with other operators, a move which began last year.

“Currently we are under negotiations to extend tower sharing,” said Gael Campan.

Vimpelcom saw regional operating losses, before depreciation and amortisation, rise to US$8.8 million in the third quarter of last year on revenues of $5 million, but the figure remained substantially below the $13.2 million operating loss recorded in Q3 2009.

MOST VIEWED

  • Website advises travellers to stay clear of Angkor Wat

    An Australian website has advised travellers to avoid Angkor Wat during their trip to Southeast Asia because the ancient temple is showing signs of rapid erosion and faced water management issues. In a recent article entitled Best places to go in 2020: 12 destinations you should avoid

  • First deportees of the year touch down in Cambodia

    Twenty-five Cambodian-Americans landed in Phnom Penh on Wednesday, marking the first such deportations of the year. “On Wednesday, US law enforcement authorities deported 25 Cambodian nationals that immigration judges determined had no legal basis to remain in the US,” said Arend Zwartjes, spokesperson for the US

  • Passenger taxi boat ridership sinks despite free services

    Passenger taxi boat traffic has dropped by about five per cent compared to the same period last year, despite the government providing free service for garment workers until next year, Phnom Penh Autonomous Bus Transportation Authority director Ean Sokhim said on Monday. In 2018, the Phnom

  • Kingdom drafting new law to strengthen immigration

    The Ministry of Interior on Tuesday said it had formed a working group to draft amendments to the Law on Immigration. Its secretary of state Sok Phal told The Post that the amendments will strengthen the management of immigrants in line with the current situation.

  • Qatar Airways to connect Doha and Siem Reap town

    Qatar Airways Company QCSC has announced a new route connecting Qatar’s capital Doha with Siem Reap, a move hailed by local officials as a significant step to boost tourist numbers. A Qatar Airways representative, speaking at the Kuwait Aviation Show, announced on Thursday that

  • Jica seeks to turn PP, towns into smart cities

    Japanese International Cooperation Agency (Jica) representatives have sought support from Siem Reap’s Apsara National Authority (ANA) to transform the ancient capital into a smart city. The call was made in February last year after the government approved three cities to join the Asean Smart