Monday, May 30, 2011

World’s Most Cutthroat Cell Market?

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Despite an average income of $650, Cambodians enjoy arguably the most competitive mobile phone market in the world. Still, the eight operators’ numbers don’t add up. (Image credit:Matt Wakeman)

May 30, 2011
Steve Finch
The Diplomat

Ngo Menghorn is a typical student in Phnom Penh. Like many 23-year-olds in the Cambodian capital, he owns a motorbike, more than one mobile phone and goes through SIM cards like they’re going out of fashion.

‘I don’t remember how many SIMs I’ve used because I always change them out,’ he says, adding that he has probably brought at least 40 in his two years as a mobile user.

His preferred network Mobitel—currently number two by market share—sells SIM cards for less than the value of credit each provides. Mobitel sells SIMs for 5,500 riels each ($1.35) loaded with $6 in call credit amid fierce competition for customers. The catch is credit is only good for a week unless the user upgrades to a more expensive call plan.

‘It’s hard to contact me because I always change my SIM card,’ admits Menghorn, adding he has taken advantage of promotions on eight different Cambodian operators.

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