TELECOM & INTERNET | Staff Reporter, Singapore

Here's why StarHub lacks growth catalysts

The mobile outlook remains weak as competition intensifies.

Whilst StarHub's recent acquisition of stakes in a cybersecurity firm makes sense, OCBC Investment Research believes it will still take time to build up its cyber security capabilities before it gains significant traction.

More so, it noted that StarHub's medium term outlook is expected to be slow. OCBC outlines three reasons why the telco lacks catalysts.

For one, the group's overall mobile outlook remains weak due to the intensifying competition with other telcos. Secondly, StarHub's PayTV woes are seen to persist, given the pressure from over-the-top (OTT) services and piracy,

Lastly, the competition in broadband segment is set to increase as TPG enters the market.

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