Data is king in telecoms sector
The advent of smartphones has indeed seen a strong swing towards data as a revenue generator for the mobile telecommunications industry in Malaysia.
In his report, research analyst Foong Wai Loke of Credit Suisse said that in the sector's service revenues, data grew strongly, up 17 per cent year-on-year in the first half of 2013.
Among the industry players, Maxis is the market leader with a 43.5 per cent share of the segment, Fong said, adding that the telco's strength lies in urban post-paid subscribers and it will see improvements in the utilisation of its data network.
News of a new Maxis chief executive officer, Morten Lundall is also seen as being favourable to Maxis as he is reported to have an excellent track record. Lundal is said to helm Maxis starting October.
DiGi, too, remains a powerful player, Foong said, because its network modernisation will be completed in the third quarter of 2013, and so, thereafter, the company will see improved revenues and profitability.
"DiGi is equipped with a brand new network with a lean cost structure," he said in his report.
On the whole, despite voice accounting for 60 per cent of the service revenues, it is slipping year-on-year, alongside short messaging service or SMS -- the latter which Foong said has fallen 12 per cent year-on-year.
Data revenues, on the other hand, rose to 27 per cent of the second quarter 2013 service revenues, up from 21 per cent in the previous corresponding period.