SingTel's corporate data niche threatened by StarHub

The latter's 20% market share could balloon anytime.

According to DBS, StarHub may gain market share in corporate data space. SingTel leads in the corporate data market with ~80% share of a market that is worth over S$1.5bn.

StarHub has less than 20% share as it did not have cables that reached commercial buildings. But that has changed with the National Broadband Network (NBN).

SingTel’s market share and margins could still feel the heat as retail service providers offer services to price-sensitive small-and-medium size (SME) customers.

Here's more from DBS:

Progress has been slow on this front as NBN provides access to each commercial building but not the individual floors. However, StarHub is ready to spend some capex to wire up the buildings in order to get its fair share next year.

StarHub recently started to offer data-mining solutions to SME customers; it helps SMEs to grow their business by mining the comprehensive data owned by StarHub.

This will help StarHub to strengthen business relationships with the SMEs and secure business in the corporate data and mobile segments.

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