By Ashley Erika O. Jose, Reporter
TWO US-BASED satellite service providers are expected to start operations within the Philippines this yr, with their applications now in advanced stages on the National Telecommunications Commission (NTC), in keeping with the Department of Information and Communications Technology (DICT).
“There are two US-based firms which are interested (to operate here). They’re currently under application on the NTC. Considered one of these two has already conducted testing,” DICT Secretary Henry Rhoel R. Aguda told reporters on the sidelines of a briefing on Wednesday.
He said one applicant may secure regulatory approval inside the month following the completion of testing activities, while the opposite company is predicted to launch services inside the yr.
“Each of them are satellites, probably GIDA (geographically isolated and disadvantaged areas) will profit from this. But these are big firms, you already know their branding,” he said.
The entry of additional satellite operators follows the enactment of the Konektadong Pinoy Act, or the Open Access in Data Transmission Act, which liberalized participation in the information transmission sector by removing the legislative franchise requirement for qualified industry participants.
The law, which lapsed into law in August last yr, goals to streamline permitting and licensing processes and promote infrastructure sharing to enhance competition and connectivity services. Its implementing rules and regulations were signed in November.
Under the measure, data transmission industry participants (DTIPs) may construct, establish, maintain, lease, or operate data transmission networks and facilities without securing a congressional franchise.
Mr. Aguda said the NTC is currently processing the migration of existing license holders into the DTIP framework and is predicted to start acting on foreign applicants thereafter.
Last yr, the DICT said seven foreign firms had expressed interest in entering the Philippine telecommunications market, offering mobile, fiber, and satellite services.
Individually, Mr. Aguda said the recently approved National ICT Development Agenda (NICTDA) would speed up the rollout of the federal government’s National Fiber Backbone project, which is predicted to succeed in Mindanao by July.
He said the approval of the NICTDA also unlocked grants value $1.7 million and $2.5 million from international funding organizations, that are currently being processed. The funding will support planning and mapping activities for the fiberization of Luzon and Mindanao.
In August last yr, the DICT said it had begun constructing the ultimate phases of the National Fiber Backbone project. The agency had earlier secured a $287.24-million World Bank loan to speed up phases 4 and 5 of the initiative, which is predicted to enhance digital connectivity in underserved areas, particularly within the Visayas and Mindanao.