Wednesday, August 27, 2008

Taiwan's Chunghwa Telecom Sees ADSL Decline as FTTB Takes Off

Chunghwa Telecom, the incumbent operator in Taiwan, reported a decline in Q2 of 126,000 ADSL subscribers to 3.5 million. This decline was offset by growth in FTTB subscriptions, with 148,000 net additions to around 0.8 million over the course of Q2, bringing the total number of broadband subscribers to 4.3 million on June 30, 2008, a 3.4% increase compared to the same period of last year.

As of the end of June 2008, the number of ADSL and FTTx subscriptions with a service speed of greater than 8 Mbps reached 1.38 million, representing 32.1% of total broadband subscribers. In addition, Chunghwa reached 508,000 MOD (IPTV) subscribers, with 73,000 new subscriptions added during the second quarter.

Some other highlights for Q2:

  • As of June 30, 2008, Chunghwa had 8.8 million mobile subscribers, slightly up quarter-on-quarter by 0.63% compared to 8.7 million on March 31, 2008.

  • Chunghwa remained the leading mobile operator in Taiwan. According to statistics published by the NCC, at the end of June 2008, the company's total subscriber market share (including 2G, 3G and PHS) was 35.6%, while its revenue share was 33.6%.

  • Chunghwa had 306,000 net additions to its 3G subscriber base during the second quarter, recording a 11.8% rise in the total number of 3G subscribers to 2.9 million on June 30, 2008.

  • Mobile VAS revenue for 1H 2008 was NT$3.4 billion, a 31.7% year-on-year increase, with SMS revenue up 24.9% and mobile Internet revenue up 58.2%.

  • At the end of June 2008, Chunghwa's fixed-line subscribers totaled 12.9 million.

  • Chunghwa's total consolidated revenue decreased by 0.6% to NT$50.0 billion in Q2

  • Internet and data revenue grew by 0.8%; ADSL & FTTB revenue decreased by 0.7% in Q2

  • Mobile revenue decreased by 2.7%; Mobile VAS revenue increased by 28.3% in Q2

  • Net income totaled NT$12.5 billion, an increase of 0.1% in Q2.