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STEEP ANALYSIS

FACTORS EXPLANATIONS IMPACT


Economic New Telecom Providers Come Negative
to PH

According to cnnphilippines.com
(2017) the telecom company
from China was invited to
compete with the duopoly Globe
Telecom and PLDT. This has a
negative impact on Globe since it
will have a new competitor. This
might cause its subscribers to
transfer provider if the new
competitor has better and cheaper
services than Globe Telecom.

Political PCC Wants to Require Negative


Telecom to Impose MNP

The Philippine Competition


Commission wants telecom to
adopt Mobile Number
Portability. With this system,
subscribers can retain their
numbers even after switching
from another provider. This may
cause a negative impact for
Globe. Since its former
subscribers will transfer to other
provider like Smart and Sun.

Economic More Foreign Investors Positive


Welcome in PH

According to
business.inquirer.net (2017)
economic managers encouraged
foreign investors to engage in the
Philippines’ growth story during
their first international roadshow
in Singapore. Duterte
Administration is looking
forward for the participation of
foreign investors on its big
projects. This has a positive
impact since it will be able attract
additional investors to contribute
on Globe’s growth and
expansion.
Technology Globe Partners with Teacher Positive
Training Innovators for Global
Filipino Schools Program

The newsroom.globe.com.ph
(2017) states about the
collaboration between Globe
Telecom and three teaching
innovators- Mano Amiga, Habi
Education Lab and APEC
schools. The program includes
internet connectivity, ICT
equipment, infrastructure support
and workshops as to utilizing
technology in teaching. The
objective is to transform teachers
to become adept on the 21st
century learning. This has
positive impact on Globe’s name
and its contribution to in
evolving innovation in the
Philippines.

Political Poe urges public to complain Negative


vs. bad Telco service

According to
business.inquirer.net (2017)
Senator Poe encouraged the
public to share their experiences
and pain points in telecom
services. This has a negative
impact on Globe since it shows
tits bad service.

Social Binay seeks probe of telcos Positive


charging P50 for paper billing

According to
business.inquirer.net (2017)
Instead of passing the burden to
those who would want to receive
a paper bill, the senator said it
would be better for telecoms to
give rewards to their subscribers
who will view their bills online.
It has a positive impact on Globe
since it will gain more favor from
their customers.

Political Longer wait for internet relief Positive

According to
business.inquirer.net (2017)
The Department of Information
and Communications
Technology should already act to
help the consumers and provide
relief on slow, expensive and
poor quality on internet services.
It has a positive impact on Globe
for this gives an opportunity for
the telecom to satisfy its
consumers.

Technological Globe partners with SM Store Positive


for easy payments

According to rappler.com (2017)


SM Store customers can now pay
for items with their mobile
phones using an app called
GCash. The customer simply has
to download it, create an account
and fund the GCash wallet
through cash-in centers located
across the country. To pay for the
item, the buyer just has to tap on
Scan QR and point the camera at
the item’s QR code. This app has
a positive impact on Globe for its
contribution to the growing
innovation of the country. It will
also increase Globe’s subscribers
as SM has a huge number of
customers.

Economic Globe, PLDT battle it out in Positive


cashless payments

The rappler.com (2017) states


about Chinese billionaire Jack
Ma visits the Philippines to
launch Globe’s new mobile
payment technology called
Gcash. On the same day, PLDT
unit PayMaya Philippines
announced its scan-to-pay
technology's availability across
the Philippines. This has a
positive impact on Globe because
it gives them opportunity to
innovate further Gcash to
compete with PLDT’s PayMaya.

Economic Jack Ma: Alibaba to keep Positive


investing in PH

As stated in rappler.com (2017)


Alibaba Group founder Jack Ma
wants to build up e-commerce
through partnership with Lazada
and Globe telecom. He also
mentioned that this plan will
enable Filipino businesses to do
business with China, Malaysia,
Thailand, and Europe. This has a
positive impact on Globe to have
more investors and attract more
customers.

Environment Telecommunication companies Positive


test emergency alert systems

The rappler.com (2017) talks


about Telecommunications
service providers must send free
mobile alerts in times of natural
and man-made disasters and
calamities in compliance with
Republic Act 10639 or The Free
Mobile Disaster Alerts Act. This
has positive impact on Globe for
playing a vital role of bringing
awareness to the people for their
safety and security.
Economic Ayala nets P23.2B Positive

According to inquirer.net (2017)


The net profit of Ayala Corp.
accumulated by 18 percent at P
23.2B for the first nine months
this year. The increased of profit
was driven by earnings from
Ayala Land, Bank of the
Philippine Islands and AC
Energy. Since Globe is in
partnership with Ayala Corp. this
has a positive impact on the
telecom. An increase in profit for
Ayala has the same effect for
Globe.

Technological Globe's pricing details for Positive


postpaid packages of the new
Apple iPhone X have been
released

As stated in rappler.com (2017)


Apple iPhone X plans have
corresponding data, call, and text
allowances and other value-
added features. The phones are
also available under Globe's
Platinum Plans. Under these
plans, you get to enjoy Globe
Priority Network, which
prioritizes your connection over
other users in the area and all-
month data surfing. This will
give Globe further advancement
against its competitor.

Social Globe lead in 2017: Unlocking Positive


doors of ‘Bigness beyond
business”

It was indicated in
business.globe.com (2017) Globe
hosted the Business’ 2017
Leadership Innovation Forum
(Lead-In 2017) participated by
top officials from various
companies. Key innovation
speakers shared their insights,
experiences, passion and
teachings that are considered
foundation of great leadership in
line with the theme “Unlocking
the Bigness Beyond Business.”
The event contributed to innovate
leadership among Globe’s
employees and officials.

Political Salalima was asked to quit for Negative


favoring Globe Telecom, says
Duterte

According to inquirer.net (2017)


Former Department of
Information and Communications
Technology secretary Rodolfo
Salalima asked by President
Duterte to resign from his post
due to his favorable act for Globe.
Salalima previously served as a
Senior Vice President for
Corporate and Regulatory Affairs
of Globe Telecom until 2008.
This will leave bad impression to
Globe, it may be drawn that
Globe has influence to Salalima.

Economic Globe Telecom Q3 core net Positive


income up 11% to P3.23B

According to rappler.com (2017)


Globe Telecom raised its net
income by 11% in the third
quarter of this year, brought by
the constant demand for data
products excluding non-recurring
charges, one-time gains, and
forex. This signifies
improvement in Globe’s market
share.

Economic NOW Corp. eyeing slice of Negative


residential broadband clientele

As stated in inquirer.net (2017)


NOW Corp. is planning to
acquire the massive residential
broadband business, the company
will use its fiber air service,
which was successfully
implemented for businesses such
as banks, schools, hospitals and
hotels. This company serves as
an economic threat to Globe.

Technology Globe begins rollout of 2600 Positive


MHz wireless network tech

The rappler.com (2017) Globe


Telecom started its commercial
deployment of a new massive
multi-input, multi-output
(MIMO) wireless network
technology capacity up to 6 times
compared to a regular site to
improve the connectivity of users
in high-density areas. This
provides advancement to Globe’s
wireless communication network.

Economic Globe President, CEO Ernest Positive


Cu on Digital Transformation:
It’s a Matter of Survival

It was said in
newroom.globe.com. (2017) due
to the rapid changing and
growing demand of customers,
Globe is adjusting to the digital
transformation era. Since
nowadays, texting and voice
communication are already free
as long as you have internet
connectivity. Globe partnered
with this apps provider like Viber
and FB for mobile data plans.

Technological PHL near bottom in 4G Negative


availability, speed

According to bworldonline.com
the Philippines has one of the
lowest LTE speed and
availability rates globally coming
from a report by a London-based
firm. In a report released by
OpenSignal, the Philippines
ranked 69th out of 77 countries
in terms of LTE availability, and
74th out of 77 in terms of LTE
speeds, in a study conducted
between July and October. The
report is based on 50 billion
measurements and more than
three billion test devices. This
has a negative impact on Globe
Telecom especially on its
investors. With a slow provider
investors would most likely have
a contract with a country that
offers fast service.

References:

Camus, M. (2017, November 8). NOW Corp. eyeing slice of residential broadband clientele. Philippine
Daily Inquirer. Retrieved from http://business.inquirer.net/240277/business-broadband-now-corp-
pldt-globe-telecom-mel-velarde-fiber-air-service-it

Canivel, R. S. (2017, November 9). PCC wants to require telcos impose MNP before renewal of
franchises. Philippine Daily Inquirer. Retrieved from http://business.inquirer.net/240393/pcc-
wants-require-telcos-impose-mnp-renewal-franchises-pcc-telecoms-mobile-number-portability-
networks

Corrales, N. (2017, September 28). Salalima was asked to quit for favoring Globe Telecom, says Duterte.
Retrieved from http://newsinfo.inquirer.net/934114/philippine-news-updates-president-duterte-
rodolfo-salalima-globe-telecom#ixzz50qdV7vnD

De Vera, B. (2017, August 15). Economic managers: More foreign investors welcome in PH. Philippine
Daily Inquirer. Retrieved from http://business.inquirer.net/235137/investor-relations-office-
philippine-economy-department-of-finance-secretary-carlos-dominguez-asean

Dela Paz, C. (2017, October 25). Globe, PLDT battle it out in cashless payments. Retrieved from
https://www.rappler.com/business/186353-globe-gcash-pldt-paymaya-cashless-payments-jack-ma

Dumlao-Abadilla, D. (2017, November 10). Ayala nets P23.2B. Philippine Daily Inquirer. Retrieved from
http://business.inquirer.net/240479/ayala-nets-p23-2b

Globe Lead-In 2017: Unlocking Doors of ‘Bigness Beyond Business’. (2017, December 4). Retrieved
from http://business.globe.com.ph/news-and-events/unlocking-doors-of-bigness-beyond-
business.html

Globe Partners with Teacher Training Innovators for Global Filipino Schools Program. (2017, May 27).
Retrieved from http://newsroom.globe.com.ph/press-release/citizenship/2017-05/globe-partners-
with-teacher-training-innovations.html#sthash.y7eFHybd.dpbs

Globe President, CEO Ernest Cu on Digital Transformation: It’s a Matter of Survival. (2017, October 20).
Retrieved from http://newsroom.globe.com.ph/press-release/enterprise-sme/2017-10/globe-
president-ceo-ernest-cu.html#sthash.l46PTVuG.dpbs
Gonzales, G. (2017, November 28). Globe iPhone X postpaid pricing details released. Retrieved from
https://www.rappler.com/technology/news/189742-globe-iphone-x-postpaid-pricing-details-now-
out

Marcelo, P. (2017, November 2). PHL near bottom in 4G availability, speed. Retrieved from
http://bworldonline.com/phl-near-bottom-4g-availability-speed/

Morales, Y. (2017, November 20). Roque: New telecom providers to come to PH. Retrieved from
http://cnnphilippines.com/news/2017/11/20/New-telecom-providers-internet-China.html
Palabrica, R. (2017, October 30). Longer wait for internet relief. Philippine Daily Inquirer. Retrieved
from http://business.inquirer.net/239523/longer-wait-internet-relief

Roxas, P. A. (2017, October 1). Binay seeks probe of telcos charging P50 for paper billing. Retrieved
from http://newsinfo.inquirer.net/934607/binay-seeks-probe-of-telcos-charging-p50-for-paper-
billing

Roxas, P. A. (2017, September 3). Poe urges public to complain vs bad telco service. Retrieved from
http://newsinfo.inquirer.net/927581/news-grace-poe-senate-telcos-telecommunications-duopoly

Schnabel, C. (2017, December 3). Globe partners with SM Store for easy payments. Retrieved from
https://www.rappler.com/business/190256-globe-gcash-sm-store-qr-payments

Schnabel, C. (2017, July 13). Globe begins rollout of 2600 MHz wireless network tech. Retrieved from
https://www.rappler.com/business/175525-globe-massive-mimo-broadband-deployment

Schnabel, C. (2017, November 3). Globe Telecom Q3 core net income up 11% to P3.23B. Retrieved from
https://www.rappler.com/business/187269-globe-q3-2017-financial-results

Schnabel, C. (2017, October 25). Jack Ma: Alibaba to keep investing in PH. Retrieved from
https://www.rappler.com/business/186356-jack-ma-alibaba-invest-philippines

Telecommunication companies test emergency alert systems. (2017, January 28). Retrieved from
https://www.rappler.com/move-ph/issues/disasters/159772-telecommunication-companies-test-
emergency-alert-system

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