Page 123 - SAMENA Trends - April-May 2021

REGULATORY & POLICY UPDATES SAMENA TRENDS

Globe Telecom Profit Climbs

Globe Telecom highlighted signs of a make our services more relevant”. He noted revenue. Mobile data accounted for 73 per
sustained recovery, with Q1 profit and 5G and fiber rollouts, as well as the ongoing cent of total mobile revenue, up from 69
revenue increasing despite continued upgrading of its network, will remain its per cent in Q1 2020. Its home broadband
weakness in its mobile business, which top priority. Net income grew 11 per cent and fixed-line business posted 15 per
was dragged down by double-digit declines year-on-year to PHP7.3 billion ($150.9 cent growth to PHP9.8 billion. Prepaid and
in voice and SMS. In a statement, president million), as a decline in non-operating post-paid subscribers fell 11 per cent and
and CEO of the Philippines operator, Ernest charges offset a hike in depreciation 8 per cent to 77.3 million and 2.5 million
Cu, said despite a resurgence of Covid-19 charges. Consolidated service turnover respectively. Prepaid ARPU increased 13
(coronavirus) cases and lingering rose 3 per cent to PHP37.8 billion, which per cent to PHP103, while post-paid ARPU
uncertainties from the pandemic, “we are was attributed to growth in mobile data edged up 3 per cent to PHP882. Q1 capex
encouraged by the improvements in first and broadband revenue. Mobile service surged 79 per cent from a year earlier to
quarter results. Looking ahead, we believe sales dipped 2 per cent to PHP26.3 billion, PHP19.1 billion. Globe said its 5G network
Globe is well positioned to provide more with declines in voice and SMS more than covers 84 per cent of Metro Manila, with a
digital solutions and innovative offers to offsetting modest gains in mobile data total 1,383 sites nationwide.

Australia Operators Warned on ID Check Failures

curb phone scams. ACMA chair Nerida
O’Loughlin explained the rules “help
prevent scammers from taking control
of people’s identities to commit serious
financial crimes”. “Historically it has been
The Australian Communications and by Medion Mobile and 52 Telstra during too easy to transfer phone numbers from
Media Authority (ACMA) warned Telstra, checks in mid-2020. The operators failed one telco to another. All a scammer needed
Optus and Medion Mobile over failures to verify customer’s identities before to hijack a mobile number and access
to adhere to subscriber verification transferring their phone number from other personal information like bank details was
rules, breaches which could cost the service providers. The regulator introduced a name, address and date of birth.” ACMA
operators AUD250,000 ($193,599) apiece. a new standard requiring operators to added reports of fraud have fallen since
ACMA stated Optus failed to follow the implement multifactor authentication the rules were implemented.
regulations one time, with 53 breaches before transferring a phone number to help

Telenor, Jazz Submit Second Instalment of Disputed License Fee

The Pakistan Telecommunication Authority substantial price hike. With the licenses The PTA’s decision was challenged in the
(PTA) has received PKR15.82 billion of Telenor and Jazz set to expire in late Islamabad High Court in August 2019 but
(around USD103.17 million according May 2019, it was not until the start of that the licensees were required to pay 50%
to the watchdog) against the second month that the PTA finally published its of the license fee as a guarantee until a
instalment of the license renewal fee from policy for the operators’ concessions to be final decision is reached on the matter. As
cellcos Telenor Pakistan and Jazz, the refreshed. The policy included a number of such, PTA noted in its recent statement
watchdog confirmed in a statement. A third decisions that were opposed by the cellcos, that it had deposited PKR135.81 billion
provider, Zong, is required to submit the most notable were: an increase in price (or USD862.22 million) with the Pakistani
second instalment for its license renewal from USD290 million to around USD450 government for the initial 50% towards
fee USD54.086 million – by October 2021. million for Jazz and Telenor and USD470 the license fee. With its receipt of the
The regulator and the trio of operators are million for Zong; and the requirement to second instalment from Telenor and Jazz
engaged in ongoing legal proceedings over pay the fee in US rather than Pakistani that figure rose to PKR151.63 billion (or
the renewal fees, which were determined rupees given that the money earned and USD965.39 million).
at the eleventh-hour and included a spent by the trio is in the local currency.

123 APRIL-MAY 2021