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Tsikot Member Rank 3
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October 21st, 2013 08:10 AM #1hopefully, this will improve the services of the other two networks and will shake the industry that will benefit the consumers....
from: ABS-CBN plan to enter telco industry hits a snag
ABS-CBN plan to enter telco industry hits a snag
Service launch originally set for Oct moved to Nov or Dec
By Miguel R. Camus
Philippine Daily Inquirer
7:03 pm | Sunday, October 20th, 2013
ABS-CBN Corp., the television broadcast firm of the Lopez Group, is still eyeing to launch its brand new telco service within the year as the original October launch is likely to be delayed as the company works out last minute kinks, an executive said last week.
The service, which will make ABS-CBN a third telco player after Philippine Long Distance Telephone Co. and Globe Telecom, will be supported by Globe’s infrastructure, the company said earlier.
“We are a bit behind but we are hoping to launch either November or December if we are able to fix some system issues,” ABS-CBN chief financial officer Aldrin Cerrado told reporters.
He said other considerations were the supply of SIM cards for the service.
“So once we [launch] we are able to service the Philippines nationwide. You don’t want to be just present in Metro Manila. It’s just a matter of making sure all our support systems are in place,” he said.
The partnership, which was branded as a network sharing agreement between ABS-CBN and Globe, the country’s second-biggest telco provider, was announced in May.
Based on the agreement, ABS-CBN will act as a traditional telecommunications provider that will deliver its own content to mobile phones and tablet computers of subscribers.
The company believes this strategy will help lure subscribers from existing players or open up new markets.
Globe will provide capacity and coverage, which ABS-CBN will pay for, nationwide. Details on this specific component, however, have yet to be disclosed by both companies.
“It’s going to be a domestic play,” Cerrado said, while declining to comment on assumptions for subscriber growth.
Currently, PLDT controls about 70 percent of the country’s mobile phone subscriber market with the rest held by Globe.
Cerrado, meanwhile, noted that ABS-CBN was investing P2 billion over the next three years into digital television.
The National Telecommunications Commission (NTC) has set a public hearing on Oct. 29 to discuss the adoption of Japan’s standard for digital television.
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October 21st, 2013 09:38 AM #2
It is still using Globe's crappy network. ABS is just bulk buying a portion of the bandwidth then selling portions of it as a network. I don't see how it will be an improvement. Bandwidth is finite and once you have reached capacity, then that's it. Think of it as a toll tunnel that was built for 100 cars to pass through every minute but they have allowed 150 cars to go through so it's become congested with accidents in the form of dropped calls happening often.
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October 21st, 2013 09:38 AM #3
From what I've read, ABS-CBN will only co-brand and provide content.
The Lopezes have had a bruising and ego-shattering experience in the Telco industry after Bayantel so it's unlikely they'll invest heavily again in this. Globe will likely be providing the backbone so there's not much expense.
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October 22nd, 2013 06:36 AM #6
The two networks have a good chunk of all the available frequencies leased out by NTC. I'll be very surprised if there'll be a third player. Maybe for LTE but that I am not sure. (Wi-tribe, SMC telco who??)
yeah. bad timing lang. the 1997 Asian Financial Crisis brought the Lopez Group to its knees back then.
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