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Thursday, July 03, 2008

 

Landline business buzze 
a new on wireless service

By Darwin G. Amojelar Reporter

THE National Telecommunications Commission (NTC) said the wireless landline (WLL) service revived telecom companies’ landline business last year.

Data from NTC showed that the fixed line subscribers rose by 8 percent to 3.9 million last year from 3.6 million in 2006. The landline business had fallen on hard times due to the popularity of text messaging or SMS (short messaging service).

Edgardo Cabarios, director of NTC’s common carrier and authorization department, attributed the increase in the number of landline subscribers to the rising demand for wireless landline in Metro Manila and other parts of the country.

“There is a market for this kind of service as people want mobility at a cheaper rate. The trend now is that people want to move because of the cell phone. They want mobility while moving around,” he said.

Bayan Telecommunicaions Inc., which started the WLL in the second half of last year posted a 60 percent growth in landline subscribers to 379,724 from 227,057 in 2006.

Rival Philippine Long Distance Telephone Co. (PLDT) recorded a 5- percent increase in subscribers with 2.1 million last year from 2 million in 2006. Globe Telecom Inc. and unit Innove Communications Inc. had 329,908 subscribers last year.

At end-March, PLDT Landline Plus subscribers stood at 75,000, of which 60,000 are postpaid and 15,000, prepaid subscribers. Bayan had 160,000 subscribers.

Globe and Digital Telecommunications Philippines Inc. (Digitel) also offer wireless landline service through Mango and Globe Wireless Landline, respectively.

The International Data Corp. earlier said that the WLL service is becoming more popular in certain markets as operators use the technology to offer unlimited voice calls that resemble services offered by traditional landlines.

Despite the wild success of Global System for Mobile communications (GSM) mobile services, there remains significant pent-up demand for wireless landline as the pricing of GSM services makes frequent calls unaffordable to many, the research firm said.

Cabarios said that despite soaring food and oil prices, telcos are expected to sustain the double-digit growth of mobile phone subscribers this year.

At end-2007, the NTC said the country’s cellular phone subscribers grew 25 percent to 57.3 million from 42.9 million in 2006.

Of the total , Smart Communication Inc. and Pilipino Telephone Corp., (Piltel) had combined subscribers of 30 million, while Globe had 22.8 million.

Digitel recorded 4.5 million subscribers while Eastern Telecommunications Philippnies Inc. and NEXT Mobile had 10,374 and 22,441, respectively.

  
 

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