Aboitiz-Frontier Towers, Globe to put up common towers

Aboitiz InfraCapital Inc., its partner Frontier Tower Associates Philippines Inc. (FTAP), and Globe Telecom Inc. have signed a memorandum of understanding (MOU) on developing telecommunication towers in Cebu, Davao, and Subic in line with the government’s common tower initiative.

In a regulatory filing submitted by Aboitiz associate general counsel Sammy Dave Santos on Wednesday, parent Aboitiz Equity Ventures said the MOU was signed on July 2, 2019.

The companies agreed to explore the possibility of leasing build-to-suit sites, towers, and other passive telecommunications infrastructure and facilities, in support of the Department of Information and Communications Technology’s (DICT) common tower initiatives.

Aboitiz InfraCapital COO Cosette Canilao said the collaboration will augment the existing coverage and capacity of Globe.

The passive infrastructures, which include towers and support structures, will also be made available to other telecommunication service providers in the country, she said.

“Our partnership with Globe represents a significant first step in our effort to ramp up the country’s connectivity through infrastructure. Through the new common towers that will be built, Aboitiz InfraCapital, in partnership with FTAP, aims to build the right infrastructure that will advance the digitalization of businesses and communities,” Canilao noted.

The agreement with Aboitiz-FTAP will focus on improving connectivity in Cebu, Davao, and Subic by building and deploying the needed telco infrastructure in the most efficient way, Globe president and CEO Ernest Cu said.

“Tower sharing is a means to address the demand for better internet experience. Our collaboration with tower experts will enable us to fast track the construction of cell sites and towers in unserved and underserved areas as well as congested urban centers,” he added.

FTAP chairman Patrick Tangney is optimistic about the changes happening in the telecom sector and the quality gains that will be facilitated by independent tower companies.

“We are confident that, in partnership with Aboitiz InfraCapital, we can offer the best one-stop solution for telecom operators in the Philippines and that we can facilitate comprehensive and rapid development of infrastructure for use by Globe as well as eventually other operators,” Tangney said.

Globe signed last June the first common tower agreement with ISOC Infrastructure and Malaysia-based tower giant edotco, covering 150 telecommunications towers, becoming the first telco to support the DICT’s initiative.

Aboitiz InfraCapital will bring to this project the Aboitiz conglomerate’s extensive experience in building and operating provincial utility networks like the Visayan Electric Co. Inc., Davao Light and Power Co. Inc., and Cotabato Light and Power.

On the other hand, FTAP will bring the experience gained from the roll out and operations of thousands of towers in ASEAN as well as its operations team experience in rolling out more than 1,000 towers in the Philippines. The company is a member of international tower firm, Frontier Tower Associates Group.

Aboitiz and FTAP signed on June 19 a cooperation agreement on developing, constructing, operating, and maintaining a common tower network.

The DICT targets to roll out at least 50,000 new common towers across the country in the next seven to ten years. It recently announced plans to accelerate the construction of 2,500 common towers in government properties. —Ted Cordero/VDS, GMA News