Globe, PLDT clamor for 700 MHz bandwidth to be utilized

Competitors Globe Telecom Inc. and Philippine Long Distance Telephone Company (PLDT) found a common cause in pushing for the government to distribute the unused 700 Megahertz frequency in favor of active telecos for the benefit of consumers pining for faster Internet connectivity.

Both companies on Friday iterated their respective calls to utilize the bandwidth immediately to bridge the gap in the Internet speeds compared with peer countries in the region.

"The 700 MHz spectrum is imbued with public interest, because all over the world this scarce frequency has been reclassified for mobile telecommunications use from broadcast use," PLDT Regulatory Affairs and Policy head Ray Espinosa said.

The spectrum remains assigned for broadcast use to date, and it is "in the hands of and controlled by a currently inactive broadband operator," the PLDT official emphasized.

The Philippines is the only country in the world, aside from Thailand, that has not used its 700 MHz spectrum frequency, Globe noted.

"This is contrary to the move by most countries to adopt the Asia Pacific technical harmonization of APT700 band plan, which is the most efficient arrangement of the 700 MHz band for mobile communications services," the company said.

Controlled by SMC

According to Globe, San Miguel Corp. (SMC) holds 90 MHz of its 100 MHz allocation from the 700 MHz bandwidth. 80 MHz is controlled by its Internet service provider Wi-Tribe, while 10 MHz is controlled by High Frequency Telecommunications. The remaining 10 MHz is held by New Century Telecommunications.

SMC is in talks with Australian telecommunications giant Telstra Corp. Ltd. for a wireless joint venture in the Philippines.

Citing data from the GSM Association (GSMA) – a group of mobile operators and companies worldwide, Globe noted that all other countries in the region have already either adopted the APT Band Plan or have progressed towards adoption while countries in Europe, the US, and other developed nations have rolled out their strategies using the 700 MHz.

GSMA encourages countries to harmonize their frequencies "as quickly as possible" to reap the benefits of the allocation of the bandwidth – economic growth, employment, entrepreneurship, and tax revenues.

Globe earlier said a country's gross domestic product (GDP) could increase by tenfold if the frequency is utilized.

"GSMA estimates that by 2020, the digital dividend for the Asia-Pacific region could be worth almost $1 trillion in additional GDP," the company said.

No NTC statement

Regulator National Telecommunications Commission (NTC), however, has yet to come up with an official statement on the issue.

It has yet to respond to a request for comment. Calls to the commission were also left unanswered on Friday.

Globe and PLDT have been pressing the NTC to allocate the 700 Mhz bandwidth.

"Both the Philippine Long Distance Telephone Co. (PLDT) and Globe Telecom have asked the NTC for an equitable distribution of the 700 MHz spectrum, with PLDT even threatening legal action and elevation of the matter to President Aquino should the regulator fail to act on its request," Globe said.

With the harmonization of the spectrum, consumer pricing could decline, Globe general legal counsel Atty. Froilan Castelo noted.

"Harmonizing the 700 MHz spectrum will allow the industry to provide broadband and data services at faster speeds and in a more cost-efficient manner. This will ultimately redound to increased benefits for consumers," Castelo said. – Jon Viktor Cabuenas/VS, GMA News