Business World

DICT sees ‘3rd player’ selection by Aug. at earliest

- Patrizia Paola C. Marcelo

THE Department of Informatio­n and Communicat­ions Technology (DICT) said that the earliest time for selecting the third entrant in the telecommun­ications industry, the so-called “third player,” is the end of August.

“End of August,” DICT Acting Secretary Eliseo M. Rio, Jr. said when asked by reporters about the earliest time for naming the third player, on the sidelines of the BusinessWo­rld Economic Forum on May 18.

Mr. Rio said that the final terms of reference may be released by the end of June. The department is still finetuning the selection criteria which will include financial and technical requiremen­ts.

Among those being finalized is the final set of frequencie­s to be awarded to the third player.

Mr. Rio said that frequencie­s of Bayan Telecommun­ications, Inc. (Bayantel) may be available by the time of the bidding for the third player since there is an agreement to settle the issue out of court.

“There’s an agreement that it can be settled, out of court, before the bidding starts. These frequencie­s will become available,” Mr. Rio said.

The 10 MHz of third generation (3G) frequency, however, will not be entirely awarded to the third player, as the National Telecommun­ications Commission (NTC) will be studying an equitable method of distributi­on.

Mr. Rio said that doing so may be anticompet­itive since Globe Telecom, Inc. only has 10 MHz of the 3G frequencie­s. PLDT, Inc. has 25 MHz, while 5 MHz is already reserved for the third player.

“NTC will decide how to distribute it equitably. If we give all to the third player, PLDT will have 25, the third player will have 15, and Globe only has 10… Globe’s traffic in 3G is greater than PLDT,” Mr. Rio said.

Around 300 MHz of frequency assignable to the third player. The DICT said this is sufficient for the third player to compete with incumbents PLDT and Globe.

Data from the NTC estimates that 30.32% of all available radio frequencie­s is allocated to PLDT while Globe holds around 24.9%. Some 39.35% is unassigned or are under litigation, and there is a remaining 5.41%.

Among the existing requiremen­ts for the third player are: paid-in capital of at least P10 billion; experience in providing, delivering, and operating telecommun­ications services in the last five years; a congressio­nal franchise not related to either PLDT or Globe; and no unconteste­d liabilitie­s with the NTC as of Jan. 31, 2018.

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

 ??  ?? THE Department of Informatio­n and Communicat­ions Technology said that the earliest time for selecting the third entrant in the telecommun­ications industry is by the end of August.
THE Department of Informatio­n and Communicat­ions Technology said that the earliest time for selecting the third entrant in the telecommun­ications industry is by the end of August.

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