SNS Network foresees strong growth for its DaaS subscription-based service

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KUALA LUMPUR: SNS Network Technology Bhd (SNS), which is set to be listed on Bursa Malaysia's ACE Market on Sept 2, 2022, foresees strong growth for its device-as-a-service (DaaS) subscription-based service, as more businesses are exploring remote or hybrid working options.

Managing director Ko Yun Hung said DaaS is rising in popularity, especially post-COVID-19, noting that there is a huge potential in Malaysia’s DaaS market.

"After the pandemic, digital users rapidly grew and upgraded their existing internet protocol (IP) infrastructure, and DaaS is one of their ways to be up-to-date with technology adoption,” he said to Bernama.

DaaS is typically offered on a monthly subscription basis, where information and communications technology (ICT) products such as hardware and software and services are bundled according to customer's requirements and offered through direct subscription or third-party leasing.

"The contract period of DaaS subscriptions typically ranges from one year to five years.

"Based on enquiries from potential customers, SNS will purchase ICT products such as desktops, laptops, interactive smartboards, workstations, digital signages, printers and servers to support the expansion of the service,” he said.

The ICT system and solutions provider offers end-to-end ICT systems and products from third-party brands and its house brand, JOI, including ICT service and solutions, repairs and upgrades as well as broadband services to customers.

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It also offers a wide range of third-party branded products, with 32,419 stock-keeping units (SKUs) and its own house brand, JOI (360 SKUs) as of April 30, 2022.

"Our 24 years of experience has enabled us to remain competitive in the market due to the rapid advancement of technologies and support the continuous development and improvement of our JOI ICT products,” Ko said.

From 2020 up to June 30, 2022, SNS has recorded 82 DaaS subscriptions worth RM255.86 million and received 75 enquiries from governmental bodies and public-listed companies.

The company launched JOI in 2014 by introducing the JOI 8 tablet to meet the demand for affordable ICT products while ensuring good product quality and specifications.

According to Ko, JOI is well positioned to capture opportunities arising from the demand for affordable ICT products within the education sector, which has shifted towards digital classrooms due to the pandemic.

As of April 30, 2022, SNS successfully secured 58 projects from educational institutions nationwide to implement the JOI smart classroom framework.

The company had also constructed a regional hub for future business growth in the commercial channel and expansion of its physical stores nationwide.

The regional hub will include an experience centre for the company to showcase new and innovative ICT and Internet-of-Things solutions such as smart homes, smart retail, smart education, smart signages and smart shelving.