South Korean mobile operator SK Telecom announced additional investments of up to $100 million in Helio, its U.S. MVNO venture with Internet service provider EarthLink. While the timing and the dollar amount have not been finalized, SK said EarthLink would match the investment to maintain its stake in the venture.
Launched in May 2006 and led by EarthLink founder Sky Dayton, Helio reported a $192 million loss last year, with SK Telecom forecasting losses between $330 million and $360 million for 2007. SK president Kim Shin-bae nevertheless predicted the MVNO will turn a profit by the end of 2008, citing projected subscriber totals of 200,000 by the end of 2007.
For more on the Helio investment:
- read this Financial Times article