By Telecom Lead Team: Mobile infrastructure providers Huawei
Technologies and Alcatel- Lucent are set to sign a $700 million deal with Globe
Telecom to modernize its network.
At least $570 million of the total amount will be spent
this year and in 2013. Philippine President Benigno Aquino will witness the
signing at the presidential palace tomorrow, according to a report in BusinessWeek.
Recently, Ernest L. Cu, president and CEO of Globe
Telecom, said: “The next two years
will be a critical period
for Globe as we execute on our network modernization programs, and as we improve
our business support systems and processes, all towards our goal of making customer experience
a key differentiator. Our network
and lT transformation program is an ambitious and yet necessary undertaking which will provide the platform
that will make us even
more competitive in this fast-moving market.”
Recently, Globe Telecom closed the year with service
revenues of P67.8 billion, 9 percent higher than previous
year’s normalized level of P62.0 billion.
The mobile
business delivered strong results across all postpaid and prepaid brands, while
the broadband business continued to register double-digit revenue growth, riding on the strength
of the Tattoo brand and the rising
demand for fast and rellable
internet connectivity.
Full year mobile revenues exceeded market expectations
to close the period at about P54.0 billion, up 8 percent year-on-year underpinned by
the record acquisitions for customizable postpaid plans, growth in unlimited services and all-network offers, and additional revenues from mobile browsing.
Broadband
revenues rose to P7.5 billion, up 30
percent from previous year driven by a growth in subscriber
base, and the introduction of new and enhanced services enabled by the expansion of sales channels and the company’s 4G HSPA+ network.
In the fourth quarter, Globe registered record high consolidated
service revenues of P17.8 billion.
The mobile business sustained its growth
momentum with service revenues up 6 percent from P13.5 billion in the
third quarter to P14.3 billion in the closing period. This is on the back of strong subscriber
acquisitions, improved top-ups for prepaid
brands, and overall rise in usage with the seasonal lift.
Globe made
significant headway in its mobile business during the year, anchored on personalized postpaid
plans, revitalized prepaid brands offering
unique, value-for-money services, and differentiated customer
service. The company’s postpaid business delivered record net subscriber additions in 2011,
enabling it to close the year with nearly 1.5
million subscribers.
