Impact of Data Upsize Plans on Telcos

Competition among the 3 local telcos used to be fairly stale, until things started to heat up in Mar 2016 when all 3 telcos launched data upsize plans as a way to pre-empt competition from a potential fourth telco. The upsize plans provide subscribers with more data with the payment of an extra monthly fee. How does that impact the revenue and profitability of telcos? As M1 is closest to a pure mobile telco company, with 79% of its service revenue derived from mobile telco services, this analysis is carried out using M1’s results.

Data X2

The table below shows the monthly cost and data allowance of M1’s regular plans without data upsize and with Data X2 upsize (Note: each telco calls its plans differently and has different data sizes. I am using Singtel’s naming convention for ease of reference). M1’s Data X2 upsize costs an additional $5.90 monthly …

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