MANILA, APRIL 26, 2013 – Globe Telecom is looking at higher revenues this year as it rolls out its 4G LTE (long-term evolution)-HSPA+ service, catering to the expected growth in mobile data usage.
“We are rolling out additional fiber optic capacity in order to support our growing 4G LTE-HSPA+ service. Thus, we can easily cater to more mobile data traffic when demand is there. We expect this endeavor to help generate revenue support this year,” Globe Telecom president and CEO Ernest Cu announced, noting that priority areas include Metro Manila, Metro Cebu and Metro Davao.
Projections point to an upsurge in smartphone penetration in the Philippines over the next several years – reaching 50% over the next three years, from latest estimate of 18% as of last year.
“The growing preference for smartphones will increase the use of mobile internet which, in turn, will help fuel our revenue growth,” Cu said.
Globe Telecom reported revenues for the mobile business grew 5% quarter-on-quarter growth to a fresh record level of PHP17.331 billion in the fourth quarter, pushing full-year revenues to PHP67.189 billion, a 6% jump from the previous year.
Mobile browsing alone generated revenues of over PHP3.1 billion in 2012, a 55% surge when compared to PHP2.0 billion in 2011 attributed to increased smartphone penetration and the company’s continued launch of affordable mobile data plans.
On the other hand, revenues from its broadband business, leapt double digit by 16% to PHP8.721 billion in 2012, compared with PHP7.496 billion in the year-earlier.
Globe Telecom’s 4G LTE-HSPA+ rollout forms part of its $700 million network modernization program launched in November 2011.
