Fourth telco must be both aggressive and rational to survive, say analysts

Otherwise, it’d be shooting its own foot, they added.

Singapore is only a few months away from determining whether a new telco would be coming to town, but analysts say it won’t be an easy ride challenging the rooted incumbents.

According to a report by Maybank Kim Eng, while a new MNO is almost a certainty, game theory suggests that the new operator would be rational in its competition.

“Asset-heavy MNOs should be incentivised to focus on financial returns,” the report said.

Meanwhile, while analysts say prices will inevitably come down, and that they have already baked in single-digit ARPU reductions in our base forecasts, it is unlikely that things would be fully disrupted.

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