Globe Urges Level Playing Field in Gov't Allocation of Spectrums

Article excerpt

MANILA, Philippines - Globe Telecom warned the government of spectrum applicants, speculators and consortia driven by "financial players" who eventually sell out for business gain, the company jointly owned by Ayala Corp. and Singapore Telecommunications said in a statement.

"Additional spectrum allocation rationally distributed to market competitors will benefit the consumers so the government should ensure there is no imbalance in this resource and it is used efficiently to bring more, better and inexpensive communication services to the public. The PLDT-Digitel deal gives PLDT and its group virtual monopoly and control of the radio frequencies which, compared to the highways, are the modes and means of transmitting voice, data and text messages," Globe claimed

At the recent hearings at the Senate committee on public services, data given by NTC Commissioner Gamaliel Cordoba clearly stated that PLDT-Digitel has majority 51% share of 3G and CMTS (cellular mobile telecommunications systems) frequencies, while Globe has a mere 23% share to service over 27 million subscribers. NTC Commissioner Cordoba admitted that the State only has 6% (10Mhz) 3G frequency left for allocation, which is currently under litigation.

Globe urged the government to protect and maintain free competition in the market by ensuring a level playing field that will allow consumers to choose the best services and give telco providers equal opportunities to compete.

Globe pointed out that the merger will result in an imbalance in market share and scarce frequency resources that will affect free competition and services to millions of subscribers, among others.

Globe explained that the assignment of radio frequencies directly relate to the ability of service providers to efficiently use this scarce resource through capital and infrastructure investments. …