The country’s mobile subscriber base has declined by 11 percent to 145.6 million from 167.3 million in the previous year, according to data from the two mobile operators.
This resulted in a decline in the country’s mobile penetration rate to an estimate of 133 percent as of end-December last year from 152 percent in 2019.
This year, mobile phone subscriber growth remains challenging with the implementation of number portability and the intense competition following the rollout of third telecom player Dito Telecommunity Corp.
Mobile companies have reported lower subscription acquisition due to the lockdown while subscriber churn or cancellation rose.
Globe Telecom Inc. reported its subscribers dropped by 19 percent to 76.6 million in 2020 from 94.2 million in 2020 due to a decline in subscriber acquisitions given the extended quarantine imposed in the country, coupled with the increase in prepaid churn.
Globe’s net subscribers in 2020 declined by 17.6 million, a turnaround from 20 million additional subscribers in 2019. Its average monthly churn rate has increase to 4.8 percent last year versus 3.1 percent in 2019 for prepaid subscribers and by 1.8 percent for postpaid from 1.7 percent in 2019.
PLDT Inc. unit Smart Communications Inc.’s subscriber base stood at 72.9 million last year, a slight decline from 73.1 million in 2019, representing an estimated combined market share of 49 percent and 44 percent as of end-2020 and end-2019, respectively.
PLDT said for six consecutive quarters starting from the third quarter of 2019, its wireless business registered revenue market share gains, signaling the strong recovery of the business.
“Prior to that, our mobile revenue market share had eroded due to the combined impact of aggressive price competition and the consequent loss of subscribers,” PLDT said.
Mobile number portability allows subscribers to keep their mobile numbers even if they switch service providers or change their subscription from postpaid to prepaid, and vice versa, free of charge. The subscribers should have no existing financial obligation to their current service provider.
Full implementation of the number portability was moved from January this year to September 30, 2021.
This is expected to further boost competition in the telecom industry, according to the National Telecommunications Commission (NTC).
NTC earlier said mobile number portability would benefit the third telco player, making it easier for the company to obtain subscribers.