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It’s no secret that mobile phone networks are among the fastest growing segments of Australia’s population, with the number of people who use their mobile phone network at home up by nearly 20 per cent since 2013.
However, the country’s largest mobile phone carrier, Aerux, has now come in as the most-popular carrier among Australians.
As of June 30, Aerix had a total of 1.6 billion subscribers in Australia, with a whopping 71.6 per cent of its subscribers over 18 years old.
The company’s share of the total market for mobile phone subscriptions was 10.5 per cent.
Aerux is the second largest provider of mobile phone services in the country after Telstra.
However its network coverage is quite limited compared to its rival, and there’s some concern that the company could struggle to attract new customers given that it doesn’t offer any on-net TV services.
In terms of revenue, Aeruxt’s revenue was $1.5 billion, and its operating margin was 28.3 per cent, according to the Australian Bureau of Statistics.
According to its 2016 annual report, Aerulex’s revenues were up $600 million, but expenses increased by $400 million due to lower subscriber growth.
The company also reported an operating loss of $2.2 million in 2016, and $3.1 million in 2017.
Analysts are not surprised that Aerux is at the top of the list of most popular carriers in the nation, given the success of its mobile phone service.
“Aeruxt is a leading provider of on-line broadband services in Australia,” said Rob Tulloch, analyst at investment bank Crispin Odey.
“It is a major player in the Australian telecommunications market and provides a valuable service for the home user.
There are several reasons why Aerux has come to the top in terms of subscribers and revenue, including its on-board TV services, and the continued growth of its onshore fibre network, which provides broadband services to more than 1 million homes.
Brisbane-based mobile network provider BrixNet is also a leader in the on-going mobile phone market, with more than 9.6 million subscribers, according the company’s annual report.
Tulloch added that Aeruux’s success is also down to its large network coverage.”
Its network coverage covers more than 5 million households, and a large proportion of its customers have access to on-air television services.
“That said, many of its users use their own home broadband connection to access the internet.
For those who prefer the convenience of having a network connection on-the-go, Aerucos network is also very robust.”
BrixNet has also grown its onerous network management rules to ensure it has more control over its subscribers.
“The company has been able to develop more stringent network management regimes that allow for more control on how users are accessed, and allows them to tailor their network to their specific needs,” Tullich said.
However, there is concern that Aerox may be in the process of being absorbed by the Chinese company, ZTE, which recently announced it will invest $4 billion to buy Aerux for $6 billion.ZTE already owns about a third of Aerux’s shareholding, and has plans to buy more shares in the future.
Last month, the Federal Government announced a $1 billion upgrade to the countrys telecommunications infrastructure, with an aim to build 1 gigabit broadband network by 2020.