Shares & Derivatives
For Starhub, M1 and Singtel Investors–Telecoms likely to lose 50% of ARPU
By Investment Moats  •  February 22, 2012
For the telecom investors, GigaOM provided another good read that re-enforces how 3G, LTE and smartphones are bad business generally Do read the full article here. For Starhub, M1 and Singtel Investors–Telecoms likely to lose 50% of ARPU  Skype and VOIP usage is huge. Facebook Chat, Whatsapp is also big. These 2 are starting to cannibalize the traditional voice and text plans.
LTE networks will eventually move their voice calling over to IP calls, it is unclear if the price paid for voice plans will see a subsequent drop. But data plans will only represent almost 40 percent of the average revenue per user (ARPU) by the end of the first quarter this year, according to Chetan Sharma, an industry consultant. This is a problem for two reasons, the first being that if people stop buying voice or texting plans, operators have a large hole to fill in ARPU. Second, the per-gigabyte price of VoIP calls or IM would not fill that ...
...
Read the full article
By Investment Moats
Investment Moats is set up by Kyith Ng and have been around since 2005. He aims to share his experiences making sense of money, how money works and ways to grow his money. It hopes that by sharing his experiences, both good and bad, season investors can advice and critique his decisions and new investors can learn from them and find their own style ...
LEAVE A COMMENT
LEAVE A COMMENT

Your email address will not be published.

*

Your Email Address will not be published
*

Read More Articles
More from thefinance