DITO Telecommunity lags behind its competitors and thus faces the risk of losing subscribers, a mobile data analyst warned.
Opensignal, an independent mobile analytics specialist, said that DITO’s download speeds for the last two months against Globe and PLDT in Metro Manila, Cebu, and Davao were 16 percent, 11 percent, and 26 percent slower.
“This is even with the benefit of having a small subs base. As users grow, we see network quality gaps as increasing,” the data analyst added in its report on Dito’s performance.
Opensignal said that as a result of the network quality gap, users are seen to keep choosing PLDT and Globe over DITO.
“Dito faces a limited network footprint and risks losing subscribers to Globe and PLDT which are both focused on expanding their gap or superiority over the former,” it said.
The mobile analytics company said that Globe and PLDT have aggressive network spending plans and Dito needs to catch up to widen its footprint.
“The question lies with capital commitment as telcos require material investment to compete,” the data analyst said.
“Dito’s current US$5 billion five-year cumulative greenfield capex commitment pales vs. Globe’s/PLDT’s US$1.5-1.8 billion annual capex,” it added.
The data analyst said that Dito’s claim of having one million users in June and two million in August does not automatically reflect pre-paid revenues.
“Active, paying subscribers may be defined loosely across operators. Subscribers are not symptomatic of revenues in pre-paid markets,” it explained.
The analyst stressed that it will “take money to compete.”
DITO Telecommunity Corporation commercially launched on March 8 this year.
Its subscribers enjoyed fast internet speed immediately after the launch but download and upload speeds later slowed.
“The initial declines in the average speeds seen by our DITO users are not surprising. It’s common for initial network launches to lead to a volatile network experience,” Opensignal said.
According to Ookla Speedtest, the Philippines’ average mobile download speed for July was at 33.69 Megabit per second (Mbps), while upload speed was at 8.83 Mbps.
The Philippines ranks 72nd out of 139 countries listed in the Ookla’s Speedtest
Global Index for mobile internet speed.