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Friday, March 29, 2024

PH average cost of $53 broadband per month, way below global average of $78

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A recent survey conducted by consumer comparison site Cable.co.uk indicated that the average cost of broadband (per month) of the Philippines was at $53.71. This cost was below the global average of $78.14 for 211 countries.

PH average cost of $53 broadband per month, way below global average of $78

The country’s $0.75 Average Cost of Broadband (per megabit per month) ranked 18th out of 42 Asian countries, 14th out of 35 Asia-Pacific countries, and 6th out of 10 ASEAN countries.   

In Asia, Macau, Singapore, and Hong Kong led the rankings with an Average Cost of Broadband (per megabit per month) of $0.30, $0.40, and $0.50 respectively.  Meanwhile, in the Asia-Pacific, Singapore at $0.04, Russia at $0.10, and Thailand at $0.12 were the least expensive. Singapore, Thailand, and Vietnam’s $0.17 were ASEAN’s best.

The countries with the most expensive costs were Afghanistan at $70.45, Marshall Islands at $148.01, and Timor-Leste at US$14.91.       

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Telco broadband prices are expected to be more competitive this year as the country’s third major telco player, DITO Telecommunity, is set to launch commercially on March 2021.  With DITO’s entry, incumbents Globe and Smart are set to increase capital expenditures significantly this year.  Globe set its 2021 capex to P90 billion, while Smart to P92 billion.  Both investments are the highest for each telco in the past six years. 

DITO, meanwhile, plans to go head-to-head with the incumbents fulfilling its commitment of spending P150 billion for its infrastructure roll-out.

Ookla, the global leader in internet testing, data, and analysis, in its December 2020 report indicated a 297.47% improvement on the Philippines’ internet average download speed for fixed broadband and 202.41% for mobile broadband, compared to July 2016 speeds. The country’s average download speed for fixed broadband continues to improve from 7.91Mbps (July 2016) to 31.44Mbps (December 2020), while average download speed for mobile broadband also improved from 7.44Mbps (July 2016) to 22.50Mbps (December 2020).

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