P1 CONTINUES TO DOMINATE AND GROW IN THE WIRELESS BROADBAND MARKET IN 2011
- P1’s Q4 growth continues to outshine all of the mobile broadband providers, ahead of Maxis, Celcom & Digi.
- P1 is the fastest and highest growing wireless broadband provider in 2011.
- P1’s broadband market share increased steadily from 6.9% (end 2010) to 8% (end 2011).
Despite the challenging broadband market condition in 2011, P1 continues to outshine the competition. In Q4 2011, P1 held a share on net add of 34%, second only to TM’s Unifi service. It has managed to cover approximately 50% of population in Peninsular Malaysia. Extrapolating the share of net add nationwide to 68% in Q4 alone.
Share of net add: Q4 2011
2011 was a remarkable year for P1 as it introduced the One Plan and Potong Stim campaigns, and substantially increasing its site rollout to 1,527 base stations. This helped push P1’s cumulative net add to 114,000 for the year, bringing its total subscriber base to 388,000. Its cumulative market share further increased from 6.9% the previous year to 8% at the end of 2011.
Market Share: Cumulative Subscribers
The year ended well for P1 as it claims top spot for being the number one wireless broadband operator in the country in 2011, commanding a 20% share of net add. Extrapolating to where P1’s 50% population coverage in Malaysia is, P1 made inroads to capture 40% that translates into P1 capturing four of every ten household broadband users.
Share of Net Add in Calendar Year 2011
In hindsight, P1 has the highest quarterly average net add among the wireless broadband providers. Its ARPU, on the other hand, is also the highest among the wireless broadband ARPUs, hovering above the RM80 mark.
ARPU, Quarterly and Yearly Cumulative Net Adds
P1 leads the 4G game
P1 and YTL Communication (YTLC) are still the two main forces dominating the 4G market. Both players have adopted different strategies and P1’s stronger subscriber performances have yielded promising results.
From day one of operation, P1 has had a steady growth in revenue, raking in a total of RM71.2 million due to our build-and-bill model and our focus on the fixed broadband market segment. YTLC on the other hand, albeit a linear revenue growth, only managed to bring in RM26.4 million.
Meanwhile, P1 has been stringently managing its costs, having only to contain losses of RM69.5 million as compared to YTLC at RM280 million losses in the first year of operation.
First Year Operations – Quarterly Revenue and Losses of P1 and YTLC
In 2011, things have shaped up as the strategy deployed earlier has gained grounds, gearing towards EBITDA positive by this year.
With RM180 million in losses at the back of RM277million in revenue, as compared to YTLC’s RM449 million losses against RM52 million revenue, this is exemplarily a testament that P1 has the capabilities of executing its operations while managing its resources prudently.
2011 Revenue and Losses of P1 and YTLC
P1 REVEALS ITS 2.0 EVOLUTION PLAN
Malaysia’s pioneer in 4G broadband, Packet One Networks (Malaysia) Sdn Bhd (“P1”) today unveiled its P1 2.0 Evolution plan slated to propel the organisation to an eminent next generation telco that is “Built for More” and to satiate broadband-hungry Malaysians.
The P1 2.0 Evolution addresses three major areas namely:
- Offering the Best of Both Worlds
- Spearheading 4G TD LTE
- Bridging the Great Business Divide
Explaining the rationale of the first P1 2.0 Evolution to deliver the Best of Both Worlds, Chief Executive Officer of P1 Michael Lai informed that P1 will be the only telco in Malaysia and one of the few telcos in the world to offer fibre optics broadband alongside a 4G wireless service. This exclusive combination is designed to meet the needs of customers who desire premium grade broadband service at a fixed location while must have the convenience of 4G wireless broadband when out and about. P1’s fibre optics will be available to Malaysians within its coverage and details of the exciting best of both worlds’ packages will make its debut in late March.