CEBU, Philippines – The size and reach of the digital economy is growing rapidly as smartphone usage increases, a top industry executive said Tuesday.
"The proliferation of progressively more powerful yet affordable smartphones has made it possible to put the magic of the Internet in the hands of more and more people," said Napoleon L. Nazareno, president and chief executive of telecom giant Philippine Long Distance Telephone Co. (PLDT) and Smart Communications.
Nazareno was the keynote speaker during the opening of the 11th Asian Carriers Conference yesterday in Mactan Island, Cebu. The four-day conference, which PLDT is hosting this year and will run until September 4, is gathering carrier and telecommunication companies from various countries around the world.
"Digital technologies are disrupting not only our business, but also virtually every major industry in the world and thus reshaping the very environment in which we all operate," Nazareno said.
Nazareno quoted mobile operator group GSMA in its Mobile Economy Report 2015 as saying that: "Mobile is at the heart of the new digital ecosystem."
The chief executive cited that mobile penetration has soared to 50% of the population in 2014 from just about 20% 10 years ago.
"This is expected to further increase to nearly 60% in 2020," he added.
According to Nazareno, most of new mobile devices will be smartphones.
A study of the World Economic Forum noted that most of the next billion consumers coming online will be using mobile devices as their only means of access, he said.
The PLDT official said carriers -- firms that offer communication services -- have the role in the new digital world.
"To grow the digital economy, there is greater need for more extensive, indeed ubiquitous and robust data networks," the CEO said. "Building and running such networks has been the traditional role of telcos around the world."
Nazareno explained carriers "are stepping up to this task."
The telco official also pointed out that telecom companies do not just provide connectivity in the digital economy but also enrich connections that improve the quality of life of people.