Sustains competitive edge as preferred brand for digital lifestyle
Data traffic through the Globe Telecom network increased substantially by 35% on year to 151 petabytes at the end of the June this year from 112 petabytes a year earlier amid continuing increase in customer demand for bandwidth as more and more Filipinos are shifting to smartphone use.
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“This affirms our business strategy that continuing enhancement of the Filipino digital lifestyle will enable the company to keep its competitive edge in the data space, allowing us to sustain our growth momentum,” Globe President & CEO Ernest Cu said. Cu said he expects the company to remain Filipinos’ preferred brand for digital lifestyle amid the company’s sustained investments to enhance network capacities and offers of market-relevant products and services.
The sharp increase in data traffic is also supported, in part, by declining mobile data rates, emphasized Cu, pointing out that the company’s mobile data pricing is now one of the most competitive across Asia Pacific, providing its customers with more data allocation. Across the Asia Pacific region, Globe offers one of the most affordable mobile data services for only P48.74/GB when compared with top prepaid telco offerings in Brunei, Singapore, India, Malaysia, Sri Lanka and Indonesia, he said.
Globe has set aside for 2016 a capital expenditure of $750 million, bulk of which will be used to boost data capacity for both mobile and wireline using different technologies of 3G, LTE and Wi-Fi as well as expand network reach in line with its vision of ushering the Philippines to become a digital nation. Following its recent acquisition of additional spectrum, Globe is also aggressively rolling out 700 MHz as well additional allocation in 2600 MHz and 2300 MHz bands. The company also recently signed new partnerships with the world’s largest content companies that include Netflix, Disney, Turner, Smule and Sports Illustrated.
Mobile data revenues in the first half reached P17.8 billion, a 46% hike from P12.1 billion a year earlier. In the second quarter alone, mobile data revenues reached P8.6 billon, a 33% rise from same quarter last year. At the end of the first half, the company’s total data revenues comprised 50% of total revenues compared with 37% at the end of June last year. Consolidated revenues in the first half totaled P59.6 billion, an 11% increase from P53.8 billion a year earlier, resulting in a net profit of close to P9 billion, a 3% rise from year earlier.