Global Mobile Corp (全球一動) yesterday said it is laying off more than 10 workers to streamline its operations as it upgrades its network to WiMAX 2.1 technology — the 4G version of WiMAX — a crucial step in its bid to stay competitive.
On Dec. 17, the company became the first among six local WiMAX operators to receive approval from the National Communications Commission (NCC) to upgrade its network to next-generation WiMAX technology. Its peer, Tatung InfoComm Co (大同電信), failed to have its license renewed because of insufficient network buildout.
Global Mobile is now under time pressure to have its WiMAX license renewed by June — six months before its existing license expires at the end of this year.
To qualify for a six-year extension, the company, headed by former Hewlett-Packard Taiwan chairwoman Rosemary Ho (何薇玲), has to build at least 809 base stations and start offering WiMAX 2.1 phones and services.
In a statement released yesterday, Global Mobile said that “more than 10 workers will be affected” by the latest workforce adjustment.
The company’s statement came after the Chinese-language Apple Daily reported that the company would lay off 20 salespeople in line with plans to shut down five retail stores on New Year’s Eve.
Global Mobile plans to rehire some of the workers from those retail outlets to work at the company’s Internet division to cater to corporate clients after its WiMAX 2.1 services are launched in summer, the statement said.
The closure of the five retail outlets is part of the company’s changes in retailing channel strategy and technology upgrade plan.
Instead of operating its own stores, Global Mobile plans to follow the concept of “a store within a store” by collaborating with local electronics retailers, including Tsann Kuen Enterprise Co (燦坤實業), E-Life Mall Corp (全國電子) and Arcoa Communication Co (全虹通信), the statement said.
In related news, nearly 10 percent of Taiwanese have subscribed to 4G long-term evolution (LTE) mobile network services, with most subscribers using it to check maps and shop, according to a poll released yesterday by Foreseeing Innovative New Digiservices (FIND), a unit of the Institute for Information Industry (資策會).
The poll showed that 8.9 percent of Taiwanese over the age of 12 used 4G services in October and paid an average monthly fee of NT$891 (US$28), higher than the average of NT$719 for 3G users.
As to the 4G user penetration rate among the country’s top three telecom operators, Far EasTone Telecommunications Co (遠傳電信) led with 10.4 percent, followed by Taiwan Mobile Co (台灣大哥大) with 9.4 percent and Chunghwa Telecom Co (中華電信) with 8.2 percent.
FIND said the most frequently used 4G apps are “looking up maps or navigation,” “checking e-mails” and “shopping on smartphones.”
The survey was conducted between Oct. 4 and Oct. 31, and collected 1,068 valid samples among people 12 years of age and older.
Additional reporting by CNA
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