Philippine telcos oppose bill relaxing rules for satellite broadband players

Philippine telcos oppose bill relaxing rules for satellite broadband players

The Philippine Chamber of Telecommunication Operators (PCTO) urged President Ferdinand Marcos, Jr. on Tuesday to veto new legislation that would relax requirements for new data transmission operators to set up operations, particularly satellite operators.

The legislation in question – the Konektadong Pinoy Act, which was ratified by the Philippine Congress earlier this month – ostensibly aims to make it easier for data transmission players to set up operations and access satellite spectrum for their service offerings.

It also mandates the formulation of a spectrum management policy framework (SMPF) that covers spectrum valuation and pricing, spectrum allocation, and spectrum assignment for public, private, and government use, among other things.

The Philippines’ Department of Information and Communications Technology (DICT) has said the act will spur competition, bridge the digital divide and lower internet prices for consumers

But PTCO – which represents major Philippine telcos, including PLDT, Smart, Globe Telecom and DITO Telecommunity – said in a statement that the act will have the opposite effect by creating an unlevel playing field that allows foreign satellite players like Starlink to offer services with far less regulation than established telcos.

“Unlike current franchise holders, these new and largely foreign operators will not be required to build infrastructure, not be required to service or in fact subsidize underserved rural areas, nor support the government in times of national emergency,” the PCTO said.

The PTCO added that it does support some provisions of the Konektadong Pinoy Act, such as eliminating the requirement that data transmission operators acquire a legislative franchise to offer services.

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