Filipino media and entertainment network ABS-CBN Corp is looking to increase its presence in the country’s fibre broadband market, announcing a raft of new price plans designed to dent the competition. Working through its subsidiary SKY Cable Corp, the cable TV company that is now seeing stronger growth in broadband services, ABS-CBN Corp’s head of consumer products Claudia Suarez said the unit ultimately targets securing a one-third share of the Philippines’ fibre broadband segment. ‘Competition is very fierce today and is driven by the rate that speeds are growing,’ she told the Philippine Daily Inquirer.
The sector is a significant contributor to the group’s earnings. Cable, satellite and broadband revenue accounted for 20% of the group total – or PHP20.8 billion (USD400.5 million) – in H1 2019, and SKY Cable’s market share in broadband reached a high of 22% in ‘select areas’, according to Suarez, as the user base reached around 300,000 broadband subscribers – a figure it hopes to grow by 30% in the next twelve months, she added. SKY Corp’s broadband service is currently available in Metro Manila, Cavite, Laguna, Bulacan, Cebu, Bacolod, Iloilo, Davao and General Santos.
To boost take-up, the unit is now offering unlimited fibre-optic broadband plans starting from PHP1,499 per month for a 25Mbps connection – undercutting its closest challenger Converge ICT Solutions whose cheapest equivalent plan costs PHP1,500. Rates for the big two – PLDT Inc. and Globe – are much higher, meanwhile, although Suarez stressed that SKY Corp is ‘not competing with PLDT and Globe in terms of scope, they have a bigger footprint’.