3rd telco player to be chosen by December 2018

MANILA, Philippines — The Department of Information and Communications Technology (DICT) is ready for the selection of a third telco player that will compete with giants PLDT and Globe, saying the new player may be announced by December.

“By the first week of December, we’ll have a telco named already. There will be a winner,” Information and Communications Technology Secretary Eliseo Rio said.

The oversight body had earlier agreed to choose the new player based on committed level of service, which resolved an impasse that has delayed the selection process.

Rio said the problem over the 3G frequency won by Bayan Telecommunications Inc. – a part of which may be included in frequencies to be awarded to the new telco player – is also on its way to being settled.

“What we are trying to do now is come up with an out of court settlement,” he said.

“NTC commissioner Gamaliel Cordoba reported to me that the contenders for that frequency have agreed to withdraw their petition. Its now with the solicitor general. SolGen wil now bring this to the Supreme Court for the disposition of the Supreme Court. So basically before we have the selection process formalized, the case is settled,” Rio added.

In 2005, the National Telecommunications Commission (NTC) awarded slots of 3G frequencies to PLDT Inc.’s Smart Communications Inc., Globe Telecom Inc., Digitel, and Connectivity Unlimited Resource Enterprises Inc.

While Bayantel won the fifth 3G frequency slot, through an appellate court ruling in 2010, it was challenged by the NTC and the case is pending in the Supreme Court.

Rio said the government would come up with an equitable way of distributing Bayantel’s 10 Megahertz (MHz) on 3G frequency.

“Once we get the 10 MHz of Bayantel, we have to decide. If we give all of those to the third telco, what will happen is Globe has only 10 MHz, third telco will have 25 MHz, and PLDT 25 MHz. So Globe will be at a disadvantage and we don’t want that to happen also. What we want is an equitable distribution of the frequency,” he said.

President Duterte wants a new telco player to compete with incumbent players to provide more options and better service to consumers.