SingTel To Keep Optus Satellite Division
PONTE VEDRA, Fla. — SingTel of Singapore will not be selling its Australia-based Optus commercial satellite operator after a five-month review of strategic options, SingTel announced Aug. 13.
The announcement was not surprising to industry observers, who had noted during the review that SingTel’s asking price was high. SingTel management had previously said the company was by no means desperate to cash out of Optus, and that one result of the review could be a decision to retain the fleet.
“Based on the review, SingTel is committed to growing and investing in the satellite business,” SingTel said in the statement.
One immediate challenge for Optus in its home market is how to position itself next to NBN Co., an Australian government-created entity that is rolling out a nationwide broadband access program that includes two large all-Ka-band satellites.
Optus operates five in-orbit satellites and has one satellite, Optus 10, under construction and scheduled for launch in 2014.