StarHub & NTT Communications Group Sealed Agreement for Sole Distribution Rights of Arcstar Services in Singapore
Singapore, 6 October 1999 -- StarHub, Singapore’s new operator for fixed and mobile telecommunications services, and NTT Communications Group, one of the world’s most competitive telecom service carrier groups, announced today that they had recently concluded a service agreement which gives StarHub the sole exclusive rights to distribute Arcstar, NTT Communications’ global managed telecommunications services in Singapore. This agreement was concluded between StarHub and NTT Worldwide Telecommunications Corporation (NTT-WT), a 100 percent subsidiary of NTT Communications Corporation (NTT Communications).
With this successful agreement established between the two parties, StarHub will be able to directly market and service NTT Communications’ "Arcstar" brand of global end-to-end managed network services to corporate customers based in Singapore from 1 April 2000 when StarHub begins its commercial operations.
This agreement means that StarHub will launch with a base of more than Arcstar 50 corporate customers whose total telecom spend is worth overabout S$205 million annually. Some of these existing Arcstar customers in Singapore include well-known multinational companies such as The Dai-ichi Kangyo Bank Limited and Union De Banques Arabes et Francaises (UBAF).
Mr Terry Clontz, President and CEO of StarHub commented, "StarHub is pleased to have concluded this agreement with NTT Communications to distribute Arcstar. We believe that this agreement will strengthen StarHub’s position as a one-stop info-communications provider of integrated, seamless communications solutions to large multinationals and local companies which have complex global info-communications requirements."
Mr Kiyoshi Isozaki, President and CEO of NTT-WT said, "We regard Singapore as the Asian hub of Arcstar info-telecommunications market and the decision to establish partnership with StarHub was very strategic and essential to create a unique position in this region. We are confident that this partnership will bring multiple synergy effects for both of us and for customers."
NTT Communications currently holds a 22 percent stake in StarHub. The working relationship of the NTT Communications Group and StarHub will be enhanced through a further injection of the Japanese group’s innovative technology know-how to StarHub via its quality research & development (R&D) capabilities. NTT Communications views StarHub as one of the most important alliances for its business strategy in the Asian market.