Thailand’s telecom sector is facing a policy freeze after a split National Broadcasting and Telecommunications Commission left a 5.42 billion baht USO Net project in legal limbo, raising the risk of delayed rural broadband rollout and contract challenges for True Corp, Thaicom and their partners.
Thailand NBTC dispute stalls 5.42b baht USO Net project
The dispute matters because the USO Net Phase 3 program is meant to extend internet access to underserved areas across five regions, a basic infrastructure requirement for Thailand’s digital economy and AI ambitions. If the regulator cannot validly approve contracts, the government risks slower connectivity expansion, weaker service quality in outlying provinces and a fresh round of litigation over awards already announced.
The immediate issue is governance at the NBTC, where the board has split into two meetings amid a legal fight over the qualification of chairman Saran Boonbaichaiyapruck. Six remaining commissioners have been pushing through urgent items, but industry participants are questioning whether those resolutions carry legal force.
That uncertainty is already rippling through operators. True chief executive Sigve Brekke said the standoff has not yet hit day-to-day operations, but warned that businesses need a strong regulator to keep decisions moving. Deputy Digital Economy and Society Minister Nan Boonma urged the government to avoid being blamed if rural signal problems recur, underscoring the political stakes of stalled telecom oversight.
The USO Net program was awarded on Sept. 12 for 5,423.70 million baht and covers five regional lots. Winners include True Internet Corp and Infrasec in the north, Thaicom and Interlink Telecom in the northeast, True Internet Corp and Wire and Wireless in the center, Thaicom and Interlink Telecom in the east-west zone, and Interlink Telecom and Turnkey Communication Services in the south.
But the next step — contract signing — is where the legal risk intensifies. Under NBTC rules, contracts above 200 million baht need the chairman’s approval, and the chairman’s status remains disputed, opening the door to future objections if the paperwork is later deemed invalid.
Thaicom said it followed the bidding and procurement process as instructed and would protect its rights if any procedural fault is later found. For investors, the key question is whether the NBTC deadlock becomes a one-off governance issue or starts delaying spectrum, infrastructure and universal service spending across Thailand’s telecom industry.
| Entity | Gains | Losses |
|---|---|---|
| Rural users in Thailand | ▲Better connectivity if project proceeds | ▼Delayed service rollout |
| True Corp, Thaicom, partners | ▲Contracted USO revenue potential | ▼Legal and execution uncertainty |
| NBTC leadership | ▲Ability to press ahead with decisions | ▼Credibility and legal standing |
| Thai government/DE ministry | ▲Progress on digital infrastructure if resolved | ▼Political blame if rollout stalls |
