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MobileOne, the first alternative mobile operator in Singapore and 30 per cent-owned by Hongkong Telecom and parent Cable and Wireless, will launch a free trial offer two months before its official launch to build market share.

Tens of thousands of potential subscribers would be offered the service for free next month in conjunction with a strengthened advertising campaign, chief executive Neil Montefiore said.

 MobileOne is not due to launch until April 1, when the Singapore cellular market is deregulated.

'From February 1 we are going to open our network up for public trial,' Mr Montefiore said.

 So far MobileOne has invested about S$166.5 million (about HK$914.08 million) in start-up costs, with $360 million more budgeted over the next few years.

  Mr Montefiore said he expected to see a return on the investment after seven years at most.

 'Typically, for this type of business in this type of city environment and given the market situation, you would expect to see a company trading profitably within three to five years and you would expect to see pay back in five to seven years,' he said.

'We don't see any reason why we shouldn't fit that sort of profile,' Mr Montefiore said.

 MobileOne is jointly owned by Singapore Press Holdings, Keppel Corp and Great Eastern, a joint venture vehicle of Cable & Wireless and Hongkong Telecom.

 Singapore state television said on Monday the same consortium would bid for a fixed-line licence in Singapore when that section of the market was opened up for competition in 2000.

 The Singapore Government has said it would choose either one or two operators as a rival to Singapore Telecommunications (SingTel). Bids have to be submitted early this year.

Mr Montefiore said he expected half the subscribers to MobileOne's service to be won over from the cellular networks of SingTel and half would be new customers in the market.



MobileOne to launch trial offer to spur market share