WASHINGTON: The mobile-data business of Smart Communications Inc. grew by more than a quarter in 2016, with revenues reaching P25.5 billion on the back of increased Internet traffic. PLDT Inc. Chief Revenue Officer Eric R. Alberto attributed the growth to the availability of more affordable smartphones in the market, attractive data offers bundled with popular digital content and services, and an upgraded mobile-data network. “The shift to data and digital services continues to gain momentum. With access to PLDT’s extensive fixed-line network, Smart is rolling out the country’s fastest mobile-Internet network to address the growing demand of our subscribers for data services at home, their schools and offices, and while on the go,” he said.
Mobile data now accounts for a third of Smart’s revenue mix. Mobile-data traffic improved by 49 percent to 148,000 terabytes. “The steep rise in mobile-data traffic highlights the popularity of data usage, as well as the huge potential to grow mobile-data revenues, particularly mobile-Internet revenues,” Alberto said. To support the rapidly increasing data traffic, Smart has accelerated its rollout of LTE and 3G data networks under a three-year program that includes the use of low-band frequencies, such as 700 Mhz for high-speed LTE services. This network rollout program has been completed in Metro Davao, where Smart subscribers now consistently enjoy average data download speeds of over 20 Mbps.
The LTE upgrade is now under way in Metro Manila and Metro Cebu, where similar dramatic improvements in data speeds are being experienced in areas where new LTE facilities have already been installed. Even higher data speeds of 80 Mbps to 90 Mbps have been registered in select areas where LTE-Advanced (LTE-A) facilities have been activated. LTE-A can deliver higher data rates by combining two or more frequency bands using carrier-aggregation technology. “Our LTE rollout highlights the opportunity for people to experience significantly much better Internet service by shifting to LTE smartphones, particularly those devices that use the 700-Mhz frequency,” Alberto said. By the end of 2016, about half of Smart’s 63 million subscribers already owned smartphones.
