Philippines Telecommunications Report Q2 2011
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- Kory West
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1 Brochure More information from Philippines Telecommunications Report Q Description: The Philippines Telecommunications Report provides industry professionals and strategists, corporate analysts, telecommunication associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Philippines's telecommunications industry. In this quarter s update for our Philippines Telecommunications Market report, we have revised several of our forecasts - namely the country s mobile subscriber forecasts and our ARPU growth expectations - downwards after taking into account new data released by the Philippines mobile operators for the quarter ended September At the end of September 2010, the Philippines mobile market grew by 0.6% quarter-on-quarter (q-o-q) to reach a total subscriber base of mn. The industry last saw a similar weak performance in June 2009 when the market contracted by 0.5% q-o-q. Globe Telecom and Digitel (Sun Cellular) reported positive net additions and performances that surpassed the previous quarter, but a net loss posted by mobile market leader Smart Communications resulted in the industry s weak performance in Q310. The operator s decline was led by a significant fall in Smart s Red Mobile unit, which saw its prepaid subscriber base fall by 752,313 to reach 381,477 in September However, this was likely a result of an inactive subscriber deduction exercise by Smart after the operator previously introduced unlimited calling and texting promotions to attract consumers. Meanwhile, operators ARPU levels continued to trend downwards as competition in the Philippines mobile industry intensified. Although Globe reported a higher mobile subscriber net addition than Smart, Globe s blended ARPU fell by 7.6% to PHP159, with its postpaid ARPU dipping below the PHP1,200 mark to reach PHP1,168. By contrast, Smart s postpaid ARPU held steady at PHP1,257. We do not expect a reversal in the ARPUs downtrend as operators have engaged in aggressive price competition even in the 3G sector in order to grab market share. We envisage the industry s average ARPU to fall below PHP150 in 2011, but expect the decline to decelerate in the next five years as market conditions stabilise and operators introduce valueadded services to boost their profitability. That said, Smart and Globe continued to report strong growth in their broadband business segment. Total broadband subscribers for the two operators crossed the 2mn and 1mn mark respectively, and wireless broadband take-up is the main subscriber growth driver for Smart and Globe. BMI expects the highgrowth momentum to continue in the next five years as the industry is in its infancy unlike the other telecoms sector in the Philippines. The Philippines rose to 11th place in BMI s latest Business Environment Ratings as the country s booming broadband industry offset the weak performance in the mobile sector and operators ARPU levels. While the broadband industry presents significant potential for investors, we believe that President Benigno Aquino III's war against corruption will be a long one, negatively affecting investor confidence in the country. Contents: Executive Summary SWOT Analysis Philippines Wireline (Fixed-Line And Broadband) Industry SWOT Philippines Mobile Industry SWOT Philippines Political SWOT Philippines Economic SWOT Philippines Business Environment SWOT Business Environment Rankings Asia Table: Asia Telecoms Business Environment Rankings The Philippines Industry Forecast Scenario Mobile
2 Table: Telecoms Sector - Mobile - Historical Data And Forecasts, ARPU Table: Smart Communications and Globe Telecom ARPU And Subscriber Mix figures, Fixed Line Table: Telecoms Sector - Fixed Line - Historical Data And Forecasts, Internet Table: Telecoms Sector - Internet - Historical Data And Forecasts, Market Data Analysis Mobile Market Overview Table: Philippines Wireless Net Additions, Q310 Table: Leading Mobile Operators Prepaid Vs Postpaid Net ARPU (PHP), Q309-Q310 3G Smart Communications Globe Telecom Digitel (Sun Cellular) Mobile Contract Wins Table: Mobile Contract Wins, Mobile Content Regional Outlook Country Outlook SMS Mobile TV Mobile Money Mobile Banking Value-Added Services Timeline Table: Selected VAS Services Launched, Mobile Operator Data Table: Country Mobile Data Philippines Table: Smart Communications (PLDT) Table: Globe Telecom Table: Sun Cellular (Digitel Mobile) Fixed Line PLDT Table: PLDT Fixed-Line Revenue Breakdown, 9M09 Vs 9M10 (PHPmn) Digitel BayanTel Innove Communications Eastern Communications Broadband Table: A Comparison Of Major Broadband Operator Subscriber Figures, 9M09 Vs 9M10 (mn) PLDT Innove BayanTel Mobile Broadband Services WiMAX Submarine Cables epldt Wireline (Fixed-Line And Broadband) Developments Table: Wireline Developments,
3 Regulatory Environment And Industry Development Philippines: Regulatory Bodies And Their Responsibilities 3G Licensing Industry Developments Competitive Landscape Competitor Analysis Table: Key Players - Philippines Telecoms Sector Table: Philippines Selected Operators Financial Indicators, Company Monitor Alcatel-Lucent Table: Alcatel-Lucent Revenues By Service Type (Earn) Table: Alcatel-Lucent s Selected Major Contracts In Asia Operator Profiles Philippine Long Distance Telephone Company (PLDT) Smart Communications Globe Telecom Digital Telecommunications Philippines Inc (Digitel) Regional Telecommunications Penetration Overview Fixed Line Table: Regional Fixed-Line Penetration Overview Mobile Table: Regional Mobile Penetration Overview Broadband Table: Regional Broadband Penetration Overview Country Snapshot: Philippines Demographic Data Section 1: Population Table: Demographic Indicators, Table: Rural/Urban Breakdown, Section 2: Education And Healthcare Table: Education, Table: Vital Statistics, Section 3: Labour Market And Spending Power Table: Employment Indicators, Table: Consumer Expenditure, (US$) Table: Average Annual Manufacturing Wages, Glossary Of Terms Table: Glossary Of Terms BMI Methodology How We Generate Our Industry Forecasts Table: Key Indicators For Telecommunications Industry Forecasts Telecoms Business Environment Ratings Risk/Reward Ratings Methodology Ratings System Indicators Table: Ratings Indicators Weighting
4 Table: Weighting Of Indicators Sources Ordering: Order Online - Order by Fax - using the form below Order by Post - print the order form below and send to Research and Markets, Guinness Centre, Taylors Lane, Dublin 8, Ireland.
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