M1-Simba, Starhub-MyRepublic consolidations: a crowded telco market through the years

[SINGAPORE] Developments of telecommunications companies consolidating dominated this week, after many years of speculation.

News broke on Tuesday (Aug 12) of StarHub buying the rest of MyRepublic Broadband for S$105.2 million, a day after Keppel announced the proposed sale of M1’s telco business to Simba.

For many years, Singtel, StarHub and M1 each served about a third of the market as the three full-fledged telcos in Singapore.

In the past decade, however, much competition has been introduced into the market. A fourth telco, TPG Singapore, which would become Simba later, entered the scene in 2016. 

Mobile virtual network operators (MVNOs) were also introduced nearly a decade ago. They are not full telcos but rather, lease network capacity from the four telcos. 

These include Circles.Life, Giga, Gomo, among others. There are currently more than 10 MVNOs here, and the market size is estimated to be worth US$502.74 million this year, according to data from research firm Mordor Intelligence.

With such a crowded market, there has been repeated talk of consolidation through the years.

The increased competition had led to M1 shares, which have since been delisted, losing more than half their value in 2018. As early as 2017, there were reports that M1’s shareholders Singapore Press Holdings (SPH), Keppel and Axiata had approached China mobile to sell their majority stake.

Speculation of a merger between StarHub and M1 has also long been talked about, with the possibility being floated last at the end of 2024. That occurred as StarHub and M1 both deferred their spectrum payment.

Here’s a timeline of what has been occurring in the telecommunications industry through the decades.

1882 – Singapore’s phone network was operated by the Oriental Telephone and Electric Company, which would become Singtel over a century later.

1992 – Singtel was founded, a three-year corporatisation of Telecoms – a merger between Singapore Telephone Board and Telecommunication Authority of Singapore – was completed.

1993 – Singtel debuts on the stock exchange.

1994 – M1 founded as “MobileOne”. Singtel begins offering commercial Internet services through SingNet.

1996 – The government announces it will end Singtel’s monopoly in telecommunications.

1997 – Singtel’s licence to be the sole provider in mobile services ends. StarHub and Singapore Technologies Telemedia bids for basic telephone licence.

1997 – M1 enters the mobile telco market.

1999 – StarHub acquires ISP CyberWay, renames it StarHub Internet.

2000 – Full market liberalisation, with the end of Singtel’s monopoly. StarHub enters the market as the third mobile operator.

2001 – Singapore Power divested shares in StarHub and sells 25.5 per cent stake to ST Telemedia for S$400 million, BT Group subsequently divests 18 per cent stake as a result of consolidation; Virgin Mobile Singapore MVNO launches as a joint venture (JV) with Singtel.

2002 – M1 launches initial public offering. StarHub merges with Singapore Cable Vision and acquires cable television and broadband Internet access operations. Virgin Mobile Singapore shuts down.

2004 – StarHub lists on the Singapore Exchange.

2005 – SunShare Investments, a JV between Telekom Malaysia and Khazanah Nasional, acquires a 12.06 per cent stake in M1 from Great Eastern Telecommunications.

2007 – Singtel’s monopoly on fixed line and international direct dial services ends; Qatar Telecom buys 25 per cent stake in ST Telemedia’s (STT) Asia Mobile, which holds STT’s stake in StarHub.

2008 – M1 enters the fixed broadband sector. Shares in M1 held by Telekom are transferred to Axiata.

2009 – M1 acquires ISP Qala, aims to enter corporate fixed broadband market.

2015 – M1 acquires a 15 per cent stake in Omani telecom company, TeO, through subsidiary M1 TeliNet.

2016 – TPG Singapore, which later becomes Simba, enters the market as the fourth telco. Introduction of MVNO.

2018 – MyRepublic enters the MVNO space on StarHub network.

2019 – Keppel and SPH buy out Axiata’s 28.7 per cent stake in M1. They gain 90.15 per cent of M1’s shares. M1 delists.

2019 – ViViFi MVNO launches on Singtel network; redONE MVNO launches on StarHub network; Grid Mobile MVNO launches on Singtel network; Singtel launches SIM-only fighter brand GoMo, StarHub launches SIM-only fighter brand giga!

2020 – M1-StarHub JV wins rights to build Singapore’s two nationwide 5G networks; Geenet mobile MVNO launches on M1 network; China-focused CMLink MVNO launches on Singtel network; MyRepublic Mobile switches to M1 network; Zero Mobile licence suspended by Infocomm Media Development Authority (IMDA).

2021 – M1 launches fighter brand Maxx; mDR subsidiary ZYM Mobile MVNO launches on Singtel network; Changi Mobile MVNO launches on M1 network; Grid Mobile shuts down; Gorilla Mobile MVNO launches on M1 network.

2022 – StarHub receives IMDA approval to buy majority stake in MyRepublic; Singtel launches heya brand; ZΩH MVNO launches on M1 network.

2023 – Gorilla Mobile, ZΩH shut down.

2024 – Eight Mobile launches as MVNO using StarHub network; China Unicom’s CUniq SG MVNO launches on StarHub network.

2025 – StarHub buys rest of MyRepublic Broadband. Keppel announces the proposed sale of M1’s telco business to Simba.