Globe sees .5-million broadband subscribers by yearend

MANILA, Philippines - Globe Telecom expects to end the year with half a million subscribers for both its fixed and wireless broadband service due to the increasing demand for Internet access.

In a media briefing yesterday, Globe president and chief executive officer Ernest Cu said from only 149,000 in end-June 2008, the company’s broadband subscriber base has more than doubled to 379,000 as of the end of the second quarter this year.

Cu said he sees this number growing further due to healthy demand for wireless broadband offerings.

He said the company’s broadband business registered P1.362 billion in revenues for the first half of the year, 59 percent higher than the P855 million registered the same period a year ago.

To cater to the growing demand for wireless broadband, the company is offering Globe Broadband Tatoo (a W-CDMA/HSDPA service offering download speeds of up to two mbps) and Globe WiMAX (Worldwide Interoperability for Microwave Access). WiMAX is a technology designed to enable the deployment of wireless broadband access as a cost efficient alternative to cable and DSL.

Globe has been expanding its wireless broadband network by aggressively investing on propagating broadband usage.

Its fully mobile broadband service, Tattoo, continued to be the main driver of growth, complemented by Globe’s expansion of WiMAX coverage areas in the National Capital Region, Western Visayas, Central and Northern Mindanao, aside from its initial service areas in Cebu, South Luzon and Cagayan de Oro.

The company spent P12.8 billion last year or 28 percent higher than the previous level to expand its 2G, 3G and broadband networks. The capital expenditure was used to boost its corporate data networks, and carryover spending related to its participation in the TGN-IA international submarine cable facility.

As of end-June, Globe has 9,280 base stations and 6,052 cellsites to support its 2G, 3G and WiMAX services.