The Pangilinan Group’s PLDT Inc. said it is bracing for intense competition with two other major players in the mobile telephone services sector, boosted by market growth as the economy reopened and mobility increased.
In a filing with the Philippine Stock Exchange on March 3, PLDT said that as of Dec. 31, 2024, the mobile market penetration in the Philippines was about 123 percent.
This was based on the number of SIM cards the major mobile operators Globe Telecom Inc., Dito Telecommunity Corp. and PLDT wireless unit Smart Communication had issued.
The PLDT filing did not provide an updated total figure. Separate reports from the telcos showed that as of September 2024, mobile subscribers of Globe reached 60.2 million, Smart had 60.3 million, and Dito, 13 million.
“Competition in the mobile telecommunications industry has remained active with greater availability of offers from telecommunications operators, including increased data allocations, and calls and texts resulting in declining yields, PLDT said.
Competition has also increased in the postpaid space, with more promotions involving greater handset subsidies, it said.
In terms of market share, PLDT said that Smart and Globe Telecom each hold 45 percent, while the third telecom player, DITO, has 10 percent, based on the number of subscribers as of the end of September last year.
PLDT said the principal bases of competition are price, including handset prices in the case of postpaid plans, quality of service, network reliability, geographic coverage and attractiveness of packaged services, including video content.
In recent years, the prevalence of OTT (over-the-top) services such as social media, instant messaging, and internet telephone, also known as VoIP (Voice over Internet Protocol) has greatly affected legacy revenues from voice and SMS services, PLDT said.
“We are also facing growing competition from providers offering services using alternative wireless technologies and IP-based networks, including efforts by the Philippine government to roll out its free WiFi services to various municipalities in the country,” the telecom player said.
Meanwhile, PLDT said it remains optimistic about growth in the home broadband market, especially with the economy reopening and mobility increasing following the pandemic lockdowns.
PLDT revenues from data services, particularly mobile data services, have increased steadily over the past several years and accounted for 89 percent of the wireless consumer segment revenues as of the end of December 2024.
The fixed line business derived service revenues from consumer data/broadband, with 92 percent of service revenues in 2024 attributable to fiber, voice (local exchange, international and domestic services), and miscellaneous services. it said.
