AYALA-LED Globe Telecom Inc. is now the Philippines’ No.1 telecommunications operator and most preferred brand for digital lifestyle, cornering more than half of revenues in mobile data, a ranking company official said over the weekend.
Ernest Cu, Globe president and chief executive officer, said that the company is now far ahead of its competitor on being the number one mobile brand in terms of data market share with 60 percent of total revenues under its belt.
“Along the way, we have actually created the number one brand in the country. At Globe, we’ve always said it’s not the number of subscribers. It’s the number of people who actually spend for your services,” Cu said during his speech at the 11th Wonderful World with Globe celebration on Friday evening.
In the first half of 2016, data traffic through the Globe network increased substantially by 35 percent on year to 151 petabytes from 112 petabytes a year earlier amid continuing increase in customer demand for bandwidth as more and more Filipinos are shifting to smartphone use.
Mobile data revenues in the first half reached P17.8 billion, a 46 percent hike from P12.1 billion a year earlier. In the second quarter alone, mobile data revenues reached P8.6 billion, a 33 percent rise from same quarter last year.
At the end of the first half, the company’s total data revenues comprised 50 percent of total revenues compared with 37 percent at the end of June last year. Consolidated revenues in the first half totaled P59.6 billion, an 11 percent increase from P53.8 billion a year earlier, resulting in a net profit of close to P9 billion, a 3 percent rise from year earlier.
Cu earlier said he expects Globe to remain the 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.
“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,” Cu earlier said.
Globe has set aside for 2016 a capital expenditure of $750 million (about P35.95 billion), bulk of which will be used to boost data capacity for both mobile and wireline using the different technologies of 3G, LTE and Wi-Fi as well as expand network reach in line with its vision of ushering the Philippines into becoming a digital nation.
Following its recent acquisition of additional spectrum, Globe is also aggressively rolling out 700 MHz as well as additional allocation in the 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.
“We want to make sure the experiences are better for the Filipino public. We want to make sure delivery of all internet services becomes better, especially the new spectrum. We’re going to make it happen,” Cu said.