Third Telco Compnay | Possible Solution to Ph's internet problem
Hello everyone, please bare with me as I post my first blog, I am open for your suggestions and comments. I am posting about a problem that my country is having. I hope you like it.
One of the problems that hinders the Philippines' growth.
The country is lagging behind its Asian-Pacific neighbors in terms of average internet speed, an internet monitoring group reported.
South Korea has the fastest average internet speed both in the Asia-Pacific and globally in the fourth quarter of 2016 with 26.1 Mbps (megabits per second), according the "State of the Internet" report released by Akamai last March.
It reported the Philippines had the lowest average connection speed among surveyed Asia-Pacific countries at 4.5 Mbps.
The possible solution to this difficulty.
President Rodrigo Duterte ordered government agencies to ensure that the country's third telecommunications provider, a Chinese-backed telecom venture, will be in operation by March 2018.
"I have instructed the DICT and the NTC to fast-track the entry of the third telecom player to foster competition in the market. I want this implemented during the first quarter of 2018," Duterte said in a statement on Tuesday.
The DICT is the Department of Information and Communications Technology while the NTC stands for the National Telecommunications Commission which regulates and supervises the country's telecom services.
He warned the country's judiciary against throwing impediments to the entry of the third player, which was not named in the statement.
"I do not want the courts to interfere and prolong this process," the President said.
"Do not issue any TROs or injunctions. This is a matter of national interest for the benefit of the public," Duterte added referring to Temporary Restraining Orders.
The President gave specific instructions to all government agencies and local government units to approve all applications and licenses within seven days upon the completion of requirements.
"If the permits are not issued within seven days, the permits are deemed approved," Duterte said.
The move follows through on an offer President Duterte's made in bilateral talks with Chinese Premier Li Keqiang in Manila on November 15. Duterte offered China a chance to enter the telecoms industry in the country as a third player.
Malacanang said on December 10 that the Chinese government has chosen China Telecom.
China Telecom will own 40 percent of the third expected player, while a consortium of Filipino companies will share in the remaining 60 percent, said Presidential Spokesperson Harry Roque in a press briefing in Malacañang Tuesday.
But some lawmakers have pointed out there were legal hindrances to having a foreign provider.
Article XII, Section 11 of the 1987 Constitution limits foreign ownership in public utilities "to their proportionate share in its capital" and mandates that "executive and managing officers of such [a] corporation or association must be citizens of the Philippines."
The limitations in ownership cover telecommunication services.
When asked about concerns that the entry of a new telecommunications provider is being "rushed," Roque said "It is being rushed because we need desperately to have better telecoms in this country."
This will finally break the duopoly, Trade Secretary Ramon Lopez earlier told CNN Philippines' The Source. The market in the Philippines has been dominated by two players - Globe Telecom Inc. and PLDT Inc.
Well yeah, Philippines is really facing this problem that causes the delays of the government services offered to its people. Slow internet connection was caused by the duopoly of these two players - Globe Telecom Inc. and PLDT Inc. They offer internet connection with specific speed (up to ....) but it couldn't really reach that max speed yet very much expensive. The coming of the third telco player might be a good addition and would force the existing duopoly to improve their services. I am hoping that the this third telco will not be restrained and would really be approved and be open to the public this March.
Are you one of those who are waiting for it's great entrance to our country?