Syntonic Limited (ASX: SYT) operates as a mobile services technology company. The Company offers mobile commerce platform that enables users to make online purchases using their carrier billing account. Syntonic serves customers worldwide.
The company, today on 22 March 2019, has come out with an update stating that MobiFone Telecommunications Corporation (“MobiFone”) has launched its new mobifoneGo service, built entirely on its Revenue Generation Platform to capture new app-economy revenue streams.
MobiFone is one of the largest mobile networks in Vietnam with more than 30% market share, approximately 50 million subscribers and reported total revenue of approximately USD2 billion in 2017.
mobifoneGo offers consumers unlimited access to favourite apps such as WhatsApp, Gmail, Skype and Spotify for a fixed daily or monthly fee without drawing down on their data plan. The mobifoneGo app is now available for download from the Google Play Store and soon on the App Store. The launch of mobifoneGo marks the first deployment of Syntonic’s Revenue Generation Platform which offers mobile advertising, content monetisation and mobile commerce services, including integration of the direct-carrier-billing technologies from the Company’s recently acquired mobile commerce assets from Zenvia Mobile Services Digitais S.A.
Subject to the completion of negotiations and the execution of formal documentation, additional updates to the mobifoneGo service will include sponsored data and data reward functionality for brands and advertisers to acquire and engage with mobile customers in a cost-effective manner. MobiFone has deployed Syntonic’s Revenue Generation Platform via the Company’s reseller agreement with Thang Long Event Limited (“TLC”). The three-year, non-exclusive agreement generates revenue for Syntonic through professional service fees and a revenue share arrangement for mobifoneGo app package sales, commissions received on data package sales, wholesale data sales, affiliate fees, advertising and support fees. Syntonic is responsible for customised product development; Tier 2 and Tier 3 technical support; and integration of the Syntonic Freeway service with MobiFone’s billing system. Tier 1 customer support, hosting, marketing, and customer acquisitions costs are the responsibility of TLC.
Mr Gary Greenbaum, the CEO and MD of Syntonic, commented that the launch of mobifoneGo is an excellent endorsement of the company’s end-to-end white-labelled solution and validates its recent mobile commerce technology acquisition. Mobifone will leverage the company’s entire Revenue Generation Platform, including its new direct billing capabilities which makes it easy and convenient for customers to purchase mobifoneGo app bundles using funds available in their carrier account. He further added that the launch of mobifoneGo represents the second commercialisation of the company’s technologies with a tier1 carrier in Southeast Asia, demonstrating its growing global commercial footprint with more deployments to follow.
On the price-performance front, the stock has posted the YTD return of 100%. The company also has posted returns of -15.38% over the past six months. At the time of writing (22 March 2019 AEST 03:05 PM), the stock of the company is trading at a price of A$ 0.010, down by 9.091% during the day’s trade with a market capitalisation of ~A$ 32.8 Mn. The stock opened the day at A$ 0.012, which was also the day’s high and touched an intraday low of $ 0.010, with a daily volume of more than 16,097,426. It had a 52-week high price of $ 0.020 and a 52 weeks low price of $ 0.005, with an average volume of, 4,307,698 approximately.