The National Telecommunications Commission (NTC) is gearing up to bid out the congressional franchise of a 3G-frequency spectrum and Globe Telecom is throwing its hat in the ring.
 
In statement Tuesday, Globe said it would join the fray of prospective bidders for the congressional franchise and 10 megahertz 3G license of Connectivity Unlimited Resource Enterprises or CURE, which carries the Red Mobile brand.
 
CURE and all its assets have been surrendered to the NTC as a regulatory condition when the commission last year approved the share swap deal that merged Philippine Long Distance Telephone Co. and Digital Telecommunications Philippines Inc. 
 
“We’ve been vocal about our interest to bid for CURE’s 3G spectrum as part of our drive to provide our subscribers with a better network, especially with the growth of smartphones and the explosion of mobile data use,” said Atty. Froilan M. Castelo, Globe’s head for corporate and legal services.
 
The commission is now “drafting the terms of the bidding,” Dennis Babaran, NTC’s Legal Department director, told GMA News Online during a phone interview Tuesday.
 
The bidding will open in the first quarter of 2013 at the latest, he added.
 
PLDT claimed that the amount needed to recover its investment was P2.125 billion.
 
This is the floor price for CURE’s assets, Babaran noted, saying however that NTC will hire independent auditors to check the accuracy of PLDT’s claim. “The issue here is the veracity of the cost recovery,” he added.
PLDT took over Red Mobile in 2008.
 
CURE’s congressional franchise – Republic Act 9130 –is valid until April 2026.
 
According to RA 9130, it is “An act grating Connectivity Unlimited Resource Enterprise Inc. a franchise to construct, install, establish, operate and maintain telecommunications systems through the Philippines. — VS, GMA News