Duterte: Telecom duopoly to end
MALACAÑANG ON Monday, Nov. 20, said President Rodrigo R. Duterte has offered China to become one of the key players in the telecommunications industry in the country.
Presidential Spokesperson Harry L. Roque, Jr., disclosed this in a press briefing, saying the offer was made during Mr. Duterte’s bilateral meeting with Chinese Premier Li Keqiang on Nov. 15.
“During the bilateral talks between President Duterte and the Chinese Premier, President Duterte offered to the People’s Republic of China the privilege to operate the third telecom’s carrier in the country,” he said.
“This comes after the Philippine government signed with an affiliate of Facebook a project entitled the “Luzon Bypass” of the Pacific Light Cable Network which will provide bandwidth of two terabits per second. These two terabits (are) equivalent to the current capacity of the duopoly operators today,” Mr. Roque added.
Also on Nov. 15, the Department of Information and Communications Technology (DICT), Bases Conversion and Development Authority (BCDA) and American social media giant Facebook, Inc signed a landing party agreement to build a high-speed internet infrastructure in the Philippines.
SALALIMA ‘PREVENTED DUOPOLY BREAKUP’ — ROQUE
Mr. Roque said the agreement with Facebook should have been signed as early as December 2016, but then DICT Secretary Rodolfo A. Salalima “prevented the earlier breakup of the duopoly by delaying the use of satellites as viable option.”
Globe Telecom, Inc. and PLDT, Inc. are the only service providers in the country.
At present, the Philippines has one of the slowest and most expensive internet speed in Asia Pacific, paying $40.96 for 13.41 Mbps. only faster than Indonesia’s 13.20 Mbps.
In a report released by wireless coverage mapping company OpenSignal early this month, the Philippines ranked 69th out of 77 countries in terms of long-term evolution (LTE) availability, and 74th out of 77 in terms of LTE speeds.
In 2016, Mr. Duterte warned telecommunications companies to improve their services or else face new competitors under his administration.
“I repeat, the announcement is that duopoly, that telecom’s duopoly is about to end with the entry of the Facebook subsidiary as well as the offer by the President of the People’s Republic of China to operate the third telecom’s carrier,” Mr. Roque said.
“So, the good news is, the consumers can look forward now to better telecommunications, not just in terms of cellular technology but also in terms of internet speed as well as access. This is the latest instance of the President proving that he has the political will to do what is necessary to benefit the Filipino people,” he added.
Sought for comment, PLDT public affairs head Ramon R. Isberto said: “That’s the government’s call. As for us, we welcome competition.”
Hastings Holdings, Inc. — a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc. — maintains interest in BusinessWorld through the Philippine Star Group.
Globe Telecom, Inc. Chief Executive Ernest L. Cu previously said the company will “welcome” a third player in the telecommunications industry.
“Our focus is to grow our business and be competitive. We’re there to compete. Everyone is welcome, I guess,” he said. — R.A. Zamora