Fun and games: Singtel, WDS invest in new gaming joint venture
Singtel, together with its Thai associate Wireless Device Supply (WDS), a subsidiary of AIS, and South Korea’s SK Telecom, have announced Series A investment in a regional gaming joint venture to reinforce their presence in the sector and develop a new gaming-related revenue stream.
The investment also marks the next step in the partnership between Singtel and SK Telecom, after an earlier memorandum of understanding was inked to develop the region’s gaming and e-sports ecosystem.
The joint venture will partner with leading international game developers, and leverage the partners’ Korean and Southeast Asian gaming and entertainment content offering to engage the 800 million gamers in the region, the companies said in a statement.
It will benefit from Singtel’s regional knowledge, digital and telco assets, SK Telecom’s expertise as a pioneer in Korean entertainment and gaming, and AIS’s experience in e-sports and digital content, the statement added.
“The games market in Thailand is showing remarkable growth,” Alistair David Johnston, managing director of New Business at AIS, said. “There are more than 27 million active gamers across all platforms, with revenue in 2019 exceeding Bt23 billion, which is expected to increase to Bt27 billion in 2020. AIS has been a pioneer in the Thai e-sports space, hosting several successful tournaments, and the company’s fixed and mobile networks also provide a great gaming experience to our customers. We aim to provide a great experience to all gamers in Thailand and across the region,” he added.
“Gaming is growing in popularity as digital entertainment for our customers in the region,” Singtel CEO Arthur Lang said. “There are some 200 million gamers in our markets, and the numbers continue to grow. In the past two years, we’ve worked with various partners in the gaming ecosystem on regional e-sports efforts, such as PVP Esports, to connect with Generation Z and millennial audiences. This has received strong support from the community and spurred us to deepen our engagement beyond e-sports into gaming content distribution. We’ve built a team of technology and gaming veterans to lead the charge as we take our next big step. By combining our strengths with SK Telecom and AIS, we can contribute significantly to the gaming scene – from offering local community engagement solutions to content and payment channels, which are often regarded by game developers as challenges to enter Asian markets. We look forward to launching our new initiative later this year,” he added.
“SK Telecom is delighted to participate in the joint venture with Singtel and AIS,” said Charles Huh, vice president and head of Private Placement Group at SK Telecom. “Building on our extensive experience in the area of gaming, which includes the successful establishment of T1, a global e-sports joint venture with Comcast Spectator, and long-standing leadership in mobile game distribution in Korea, SK Telecom will help create a new level of gaming experience by providing popular Korean gaming content throughout the Asia-Pacific region.”
The joint venture is not expected to have a material impact on Singtel Group’s finances.
