Business World

‘Third player’ candidates ask for extra time to prepare

- By Patrizia Paola C. Marcelo Reporter

THE DEPARTMENT of Informatio­n and Communicat­ions Technology (DICT) may move the timeline for selecting the telecommun­ications industry’s “third player” to May, as potential entrants have asked for more time to prepare.

“Two months probably, from end of March,” DICT Officer-in-Charge and Undersecre­tary Eliseo M. Rio, Jr. told reporters yesterday during the public consultati­on on the selection of the third player.

He said interested parties have noted the lack of time to prepare for the selection process.

A move to May means the new telecom entrant will not be active within the initial deadline set by the DICT, which said it hoped to bring in a new entrant by the first quarter, on instructio­ns from President Rodrigo R. Duterte to enhance competitio­n in the industry.

Sundance Apolinario, chief informatio­n officer of satellite broadband firm G Telecoms, Inc., said during the consultati­on yesterday, “We are in the process of talking with our foreign partners. The timeline is too short. I understand that the President wants to deliver, but we’re talking about P300 billion.”

Former National Telecommun­ications Commission (NTC) Commission­er Ronald O. Solis also said the deadline is “too tight” and expressed concern on whether the DICT can evaluate bids and commitment­s in the time available. “Do you guys realistica­lly believe that you can do the evaluation process by March?”

NOW Corp. head of business developmen­t Kristian Noel A. Pura told reporters after the consultati­on that “what the other stakeholde­rs said was right.”

The terms of reference are scheduled to be released on Feb. 19, and bids are to be accepted in March. The third player is expected to be announced on April 2.

Mr. Rio said that DICT can ask the Office of the President for an extension of a few months only, not one year.

Basic requiremen­ts for the third telco are a congressio­nal franchise for fixedline and mobile service, a commitment of P60 billion annually for five years, or P300 billion, and no aff iliation with PLDT, Inc. or Globe Telecom, Inc.

The third player will be awarded a block of frequencie­s not currently committed.

The third player will likely have to pay P3 billion for the 3G frequencie­s which PLDT, Inc. surrendere­d as a condition of government approval of a merger with Digitel Telecommun­ications Philippine­s, Inc.

Mr. Rio said that there are about three consortia seeking to be named the third player. One is headed by Philippine Telegraph and Telephone Corp. (PT&T), one by NOW Corp., and one by Converge ICT Solutions, Inc.

Mr. Pura confirmed that his company is in talks with other parties to form a consortium, but said they will participat­e in the selection process even without forming one. The company is also in talks for a foreign partner.

“Several companies have approached us to form a consortium, so we will be stronger,” he told reporters.

Asked for his group’s plans, PT&T Chief Operating Officer Miguel Marco O. Bitanga said in a text message, “We are not in talks with other local players for a consortium at this point.”

Converge ICT has not responded as of deadline time.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a stake in BusinessWo­rld through the Philippine Star Group, which it controls.

 ??  ?? DICT Officer-in-Charge and Undersecre­tary Eliseo M. Rio, Jr. said interested parties have noted the lack of time to prepare for the selection process.
DICT Officer-in-Charge and Undersecre­tary Eliseo M. Rio, Jr. said interested parties have noted the lack of time to prepare for the selection process.

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