MANILA, Philippines - Globe Telecom Inc. wants to get at least a fifth of the 700 Megahertz (Mhz) frequency band mainly held by San Miguel Corp. (SMC) to better cater to the growing demand for high-speed Internet service.
Globe president and chief executive officer Ernest Cu told reporters the company would want an allocation of at least 20 Mhz on the 700 Mhz frequency band.
“That is important for coverage,” he said.
He added the frequency band “should be split up evenly, 30-30-30, even to networks with no customers.”
The 700 Mhz is considered key to provide faster Internet speeds and address the rising demand for mobile data services as it allows signals to easily go through buildings and walls and covers larger areas with less investments required.
Of the total 100 Mhz on the 700 Mhz band, SMC holds 90 Mhz through wi-Tribe Telecoms Inc.’s 80 Mhz and High Frequency Telecommunications Inc.’s 10 Mhz. The 10 Mhz balance is assigned to New Century Telecommunications.
Globe and Philippine Long Distance Telephone Co. have been pushing for the reallocation of the frequency band citing the need to provide consumers better Internet service.
National Telecommunications Commission deputy commissioner Edgardo Cabarios said the reallocation of the frequency would be difficult as it is a quasi-judicial process and there is no reason to recall its assignment.
As Globe aims to maintain its leadership in catering to the Filipino’s digital lifestyle, the company wants to ensure the quality of its service is maintained and able to meet the rising demand and usage of customers.
Following Globe’s acquisition of Bayan Telecommunications, Inc. earlier this year, Cu said the company is also looking to make available higher speeds on broadband under the Bayan brand.
“Our objective is to offer everybody as high as possible, up to 100 Mbps,” he said, noting the higher broadband speed for Bayan customers should be available by fourth quarter of next year.
While the networks are integrated, Globe is keeping the Bayan brand for now.
Globe is looking to spend at least $800 million worth of capital expenditures next year for its data, voice and SMS services as well as for the modernization of the fixed-line infrastructure of Bayan.
For this year, Globe expects to spend close to $800 million of the $850 million worth of capital expenditures allotment.