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Hongkong Telecom yesterday made its long-awaited relaunch of a mobile phone network it purchased from First Pacific earlier this year.

 The new network is called 1+1 and is Hongkong Telecom's third mobile offering after its 1010 and One2Free brands.

 In January the group paid $4.8 billion for Pacific Link's D-Amps and PCS in the first consolidation of Hong Kong's mobile phone sector.

 The 1+1 network will be Hongkong Telecom's cheapest mobile offering with a single monthly tariff plan of $178 for 101 minutes.

 Hongkong Telecom said it was investing $200 million in the network to improve quality.

 Hongkong Telecom mobile services managing director Allen Ma said he thought 'more than 90 per cent of the existing customer base' would 'migrate' to 1+1.

 The network - under Pacific Link - had about 260,000 subscribers.

 Mr Ma said the key to increasing revenues was getting people to use the phone and value-added services.

 He said his target for average monthly revenue per subscriber on 1+1 was '$300 plus'.

 Although Hong Kong has one of the highest cellular penetration rates in the world at 34 per cent, Mr Ma said Hongkong Telecom's forecast was 52 per cent - equivalent to about 3.5 million customers.

 On that basis, the target would be 1.4 million subscribers in the group which excludes business users and younger people who use the phone as a 'lifestyle' tool.

 Of those, only 40 per cent had signed up to mobile services, leaving a potential market of 840,000 new subscribers.

 Hongkong Telecom said its customer profile for 1+1 was someone in the 30-54 age range and probably married.

 The phone would be marketed as a tool to maintain close connections with relatives, friends and business associates.



HKT in mobile network relaunch