PLDT Global focuses on MVNO business model
HONG KONG, July 7, 2007 — PLDT Global Corporation (PGC), the international sales and marketing arm of the PLDT Group, will be focusing on the Mobile Virtual Network Operation (MVNO) business model to tap the growing OFW communities in Asia, the United States and Europe.
PGC President and CEO Alfredo S. Panlilio said the Company is veering away from the traditional retail voice services, such as phone cards and postpaid IDD services and aggressively growing its international mobile business.
“We achieved some success as a result of the company’s focus on a stronger and more viable MVNO business model for the growing OFW communities,” he said.
“Through innovative products and services as well as strategic partnerships, PGC has been able to penetrate the OFW market effectively and boost its revenues in the process,” he added.
Panlilio explained that PGC’s international mobile business through partnerships with local operators in Hong Kong and Singapore appeared to be a more sustainable business model. It had favorable economic returns and it allowed PGC to introduce mobile innovations featuring the best of both Smart services in the Philippines and the foreign partner’s offerings abroad.
He further added that the Hong Kong wireless business is expected to further surge this year owing to its growing customer base, which reached 55,000 as of end of March.
Singapore achieved positive results faster after only 10 months of commercial operation and amassing more than 35,000 customers as of end of March. “The cost of the learning curve was obviously lower and the period was shorter,” Panlilio said.
PGC launched its first Mobile Virtual Network Operation (international mobile business) in Hong Kong in August 2004, branded as “1528 Smart,” in partnership with Hong Kong CSL Limited in April 2006, PGC launched another MVNO in Singapore in partnership with Mobile One called “Smart Pinoy.”
These international mobile services offer the first true Pinoy mobile experience. More than the affordable call and text rates to the Philippines, it offers a 24/7 all-Filipino customer service and superior Filipino value-added services such as Smart Load, Pasa Load, Smart Padala, Startext, StarCaller and Catextism, among others.
PGC Roadmap
In its effort to nurture Filipino ties between OFWs and their families, PGC continuously expands its horizons through partnerships with various foreign operators in other parts of Asia, Europe, the U.S. and Canada.
“Sustaining Filipino ties and profitability through organic business expansions remain our biggest challenges. Expansion through acquisition seems difficult given the absence of a company offering the same basket of services. My team understands that it’s not an easy undertaking but I am glad that all are committed and determined in taking the big leap,” Panlilio said.
“At the end of the day, our inherent missions are to help improve the lives of OFWs and their families and, at the same time, to increase PLDT’s shareholder value,” Panlilio said.
PLDT Global now operates in 5 major areas: Hong Kong, Singapore, United States, United Kingdom and the Middle East.