Ayala Group forms new e-commerce venture

Not to be left out in the information technology (IT) race, the Ayala Group has formed a new company that hopes revolutionize the fledgling e-commerce business in the country.

MYAYALA.com Inc. has filed its incorporation papers with the Securities and Exchange Commission "to pursue various business opportunities in the field of electronic commerce," Ayala Land Inc. vice president and comptroller Jaime Ysmael told the Philippine Stock Exchange.

MYAYALA, with an authorized capital stock of P100 million, is a 50-50 joint venture between ALI and its sister firm iAyala Co. Inc., a wholly-owned subsidiary of Ayala Corp. iAyala itself is a start-up company, formed just last January, to handle the group's investments in the technology area.

Parent firm Ayala Corp. has invested in different IT companies with strength in Internet-related ventures. It has put in equity into Cielo, a major supplier of optical commnications and networking products and in SiRF, a leader in global positioning chipsets for mobile phones. Ayala also has an existing agreement with Akamai Technologies for a network partnership that will entail the use of Akamai servers for faster access to Internet websites like Yahoo!, CNN Interactive, Reuters, Apple and Adobe.

But even before the Internet craze rubbed off on a number of companies, including listed firms that completely overhauled their businesses to ride on the cyber-bandwagon, the Ayala Group was among the first to fully automate and integrate its various business lines.

The Ayala Group has invested well over P7 billion in IT initiatives, providing produts and services through its subsidiaries such as computer components maker Integrated Microelectronics, systems integrator Ayala Systems Technology Inc., e-commerce pioneer EDINet Philippines and telecommunications unit Globe Telecom.

Their combined contribution enabled the computer link-up and information sharing of all companies in the Ayala Group using system-wide groupware and workflow technologies for improved communication and collaboration within the conglomerate's units that include ALL Bank of the Philippine Islands, Pure Foods Corp., Ayala Life Assurance, FGU Insurance Corp., Universal Reinsurance and automative ventures Honda Cars and Isuzu Philippines.

With the birth of MYAYALA, the group's e-commerce business goes into high gear as this would facilitate online sales and services in Ayala's core commercial establishments (Ayala Center, Alabang Town Center, Ayala Center Cebu), hotel chain (Intercontinental Hotel, Marriot Hotel Cebu) and its wide range of property development. --