PLDT Group beefs up connectivity in Clark Airport
PLDT, and wireless unit, Smart Communications, have reinforced the data connectivity in the Clark International Airport to address the need for highspeed internet in one of Luzon’s key gateways outside of Metro Manila.
The Clark International Airport inside the Clark Special Economic Zone in Mabalacat, Pampanga, is the seventh airport to be installed with Smart Wifi nationwide, and the first in Luzon.
The service is already available in the Francisco Bangoy International Airport in Davao City; Laguindingan Airport in Misamis Oriental; BacolodSilay International Airport in Silay City; Iloilo International Airport in Iloilo City; Roxas Airport in Roxas City; and Zamboanga Airport in Zamboanga City. Soon, Smart Wifi will also be reinforced in all four terminals of the Ninoy Aquino International Airport, as well as in the airports of Cebu,
Speaking before a multi-stakeholder forum that includes local government representatives, customers and media, Globe President and CEO Ernest Cu took to task industry critics who have asserted that the country needs more industry players to improve telco services.
“I have said it time and again, Globe is ready and willing to compete with any player old or new. However, any new player/s who want to come in should build incremental infrastructure in order to improve telco services in the country. The new player should not sit idly by waiting for existing operators to just open up and use whatever infrastructure is available because doing Dumaguete, Kalibo, Caticlan, General Santos, and Laoag.
The airport in Clark was identified by the Department of Transportation as one of 21 key transport hubs for installation of Smart Wifi as outlined in a landmark agreement signed last month by Transportation Secretary Arthur Tugade and PLDT and Smart chairman, president, and CEO Manuel V. Pangilinan to strengthen data connectivity so will not help solve existing industry challenges.
Cu also said pointed out that current industry barriers were not put up by existing telco players but a combination of high network spending which runs in multi-billion dollar investments due to lack of infrastructure and difficulties in network deployment due to bureaucratic red tape that further increases cost of operations. “This industry is very difficult to penetrate because the barriers to entry are very expensive to overcome and because deployment of networks are very challenging due to local government issues,” said Cu.
Cu cited the case of SMC, which early this year was on the verge of launching a telco business. However, in airports, seaports, railways, train stations, and bus terminals across the country.
More high traffic areas such as city halls, schools, hospitals, and malls, among others, will be covered by the service over time amid the increasing demand for more public Wifi hotspots in the country.
“The deployment in airports is just the first phase of the nationwide rollout following the sell out of San Miguel’s telco assets in late May, it was found that its existing telco infrastructure was barely adequate. “How can this supposed player compete when they cannot deploy a network? When we found San Miguel, who was threatening to launch a network, they only had 230 cell sites. That is after 2 years of trying to build a network. You’ve heard about them trying to build their network but in reality, you go there, there’s nothing in there.”
Cu confirmed that following the joint buyout, these sites had to be dismantled. “There is no incremental value because the sites they built on already have existing telco sites,” adds Cu. for Smart Wifi as we address the need of consumers for more Wifi hotspots amid rising smartphone penetration and data usage. With a bandwidth of up to 1 gigabit per second, Smart Wifi users will get to enjoy a seamless digital experience whether surfing the web for their favorite sites, or keeping connected with home and office while travelling,” said Kat Luna-Abelarde, FVP and Wireless Consumer Operations Head at Smart.
An initial investment of P1 billion has been earmarked this year for the first phase of the nationwide deployment of Smart Wifi, which will have a minimum backhaul of 1 gigabit. Higher bandwidth will be allocated for bigger transport hubs and sites.
The deployment is backed by the group’s robust and resilient wireless and fixed-line network infrastructure.
“The sustained deployment of Smart Wifi in key gateways like the
The Philippines like many other telco markets globally is characterized as mature and very competitive with basic services like SMS and voice being replaced by OTT players. While there are present opportunities in data services, late entrants are hard pressed to become game changers and be effective at market differentiation by innovation. “Globally, there are many markets where late comers to a mature, highly competitive market never make it. The late entrants end up being bought by one of the other players,” Cu pointed out.
He further cited the case of Sun Cellular, which ended up being acquired by a dominant player. “Sun was a third player, but which was eventually Clark International Airport forms part of our commitment to bring the digital experience to more Filipinos by way of high-speed internet. This is also aligned with our Chairman’s vision of developing Clark as the alternate airport to the congested NAIA,” said Eric R. Alberto, EVP for PLDT/Smart, and president and CEO, ePLDT.
In an interview with Pampangabased journalists last June, Pangilinan reaffirmed his commitment to fully develop the Clark International Airport, saying it’s a “better option” compared to proposed airports in Cavite and Bulacan.
Government is proposing to decongest the Ninoy Aquino International Airport with another airport outside of Metro Manila. The presence of foreign and local ecozone locators in Clark as well as its proximity to Metro Manila makes it a viable alternative to NAIA as the country’s main gateway in Luzon. acquired by a dominant player. While good disruption tends to bring out the best among players, the acid test is whether they are able to sustain their business.”
Globe has repeatedly called on government to play its role in addressing the challenges faced by the local telco industry. To deploy network infrastructure, it takes 25 permits and about 8 months to complete the approval process of one cell site. The Philippines continues to lag behind in terms of cell site density that will improve mobile internet experience in the country. In addition, the roll out of fiber optic cables as last mile solution to bring broadband services to homes is likewise challenged due to right of way issues.