SK Telecom (SKT) is reported to be in talks with Harbinger Capital Partners about a US$100 million investment in LightSquared, the wholesale LTE network operator Harbinger is backing in the US. According to Reuters, while the South Korean company has acknowledged it is talking to Harbinger, it said that “some terms haven’t been met yet.” It was suggested that SKT is keen to become involved in LightSquared’s LTE rollout in order to gain knowledge which can be used in its other operations. SKT is planning to launch LTE in its home market in 2011, with the intention of offering nationwide coverage by 2013, in order to meet rising demand for data from smartphone and mobile broadband customers. The company is also believed to be looking to bolster its international operations in order to counter tough conditions in its home market.
It was not revealed if SKT’s plans to invest in a capacity provider could be a precursor to it attempting another crack at the US market as an operator. Its previous efforts in this country were not a resounding success, with its Helio MVNO business being sold to Virgin Mobile USA after failing to generate much interest from consumers. SKT was also suggested as a possible suitor for Sprint, at the point when the US operator was at its lowest ebb, although this did not come to fruition. More recently, SKT made a US$100 million investment in Malaysian WiMAX operator Packet One Networks, and the company was reported to be eyeing an investment in Indian operator Videocon Industries – although new entrants into the Indian market are currently in something of a precarious position.
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