Taiwan Mobile Co (台灣大哥大), the nation's third-largest mobile operator, yesterday launched its new data-oriented BlackBerry service as part of its efforts to offset a possible decline in revenues next year because of stiffer competition.
"It is very important to offer the [right] services or products to counteract stagnating growth," Taiwan Mobile president Harvey Chang (
More than 80 percent of local mobile carriers' revenues come from voice traffic. But Chang said that Taiwanese telecom companies were expected to report their first year-on-year decline in annual revenues as the telecom market for voice traffic nears saturation.
Chang said he expected Taiwan Mobile's local peers to post flat revenues, or 2-3 percent annual decreases, next year partly because of an increase in the use of Internet telephony.
Offering the BlackBerry service "is one of many approaches to boost average revenue per usage (ARPU) for the long term," Chang said, adding that he hoped the company would outperform rivals with the launch of the new device.
Taiwan Mobile is able to sell BlackBerry phones after more than four months of government review, because the company agreed to let judicial authorities access its encrypted system for criminal investigations, Chang said. The company would allow police to access e-mails for any criminal investigation, if necessary, he added.
Taiwan Mobile's ARPU is currently at NT$799 (US$24.5), the company statistics show.
A BlackBerry account with Taiwan Mobile costs NT$899 a month as well as NT$7,990 for a BlackBerry phone. Customers can access their e-mail in real time with the service.
Taiwan Mobile, the only local partner of BlackBerry maker Research in Motion (RIM), has set a conservative goal of attracting 10,000 subscribers for BlackBerry services within 18 months, and has targeted big corporations.
Taiwan Semiconductor Manu-facturing Co (台積電), the world's top contract chipmaker and Accton Technology Corp (智邦) have subscribed to the service.
Taiwan Mobile said earlier this month that revenues fell 1.8 percent to NT$54 billion in the first eleven months, from NT$55 billion a year ago. Net income rose 3.3 percent annually during the same period to NT$15.8 billion mostly due to assets sales, compared to NT$15.3 billion last year.
Taiwan Mobile has gained around NT$2.11 billion by selling shares of rival Chunhgwa Telecom Co (
Without the asset gains, Chang said it was difficult to say whether Taiwan Mobile's net profits would drop next year.
The company still has 2.69 million shares in Chunghwa Telecom, the nation's biggest telephone company.
Shares of Taiwan Mobile were up 1.08 percent to NT$32.5 yesterday on the stock exchange. The stock price of Chunghwa Telecom was unchanged at NT$60.4, while Far EasTone Telecommunications Co (遠傳電信) shares inched up 0.13 percent to NT$36.55.
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