Telcos warned: Improve services or face expropriation

Saying he wanted to have a clear line of communication with Jesus Christ by yearend, President Duterte warned the country’s top telecommunications firms to improve services or face expropriation by the government.

Speaking during his fifth State of the Nation Address yesterday, the Chief Executive vowed to go after companies that he said should be run by the government, whether these are airwaves or lines.

The government should be given first option to utilize them, Duterte stressed. And, if not, he would find ways to work with Congress to make sure they would be out of the industry if they would not shape up and improve their services.

“Kindly improve the services before December, I want to call Jesus Christ in Bethlehem. Better have that line increase,” said the 75-year-old leader, who is also

known for his sarcasm.

He vowed that “the next two years will be spent improving the telecommunications of the country without you,” referring to Globe Telecoms and Smart Communications.

“I will talk to Congress and find a way to do it,” said Duterte, whose earlier rants against television station ABS-CBN were seen to have resulted in the non-renewal of its franchise. This showed Duterte’s political will despite attempts by spin doctors to downplay the revocation of the TV network’s franchise four years into his six-year term.

PLDT last night said it is “deferring comment for now,” while Globe said it heeds the call of the President to improve telco services. According to the Ayala-led Globe, its multibillion-dollar investments in its network have improved services, but admitted challenges remain. “Service performance and increased consumer demand for data are the key reasons why we have been investing billions of dollars to upgrade and improve our network,” said Globe, noting that it has earmarked $1.2 billion in capital expenditures this year, a majority of which goes to network and capacity improvement. It added that the “substantial investments are paying off as we experience marked service improvements. Today, the Globe network is running at 4G/LTE. Last year, we launched 5G for Globe At Home and soon we will be launching mobile 5G services in the country.”

Globe also said it is “working with the Department of Education to assist the sector through low-cost data plans and devices as well as teacher training, online platforms and mental health support.”

The telco firm said it was able to provide over P1.3 billion in combined services and assistance package for COVID-19, benefitting customers through services and promos, monetary and in-kind donations.

A third telecommunication firm led by a Duterte ally, Davao-based businessman Dennis Uy, has been working to become a third player in the Philippine telecoms industry. It, however, has postponed its planned service roll-out.

In the remaining two years of his term, Duterte said he is ready to ensure that all which “is good that belongs to government – whether it’s airwaves or lines – will belong to government.”

PBA party-list Rep. Jericho Nograles supported the idea and said this pronouncement should pave the way for a congressional inquiry on the state of telecommunications in the country.

He lamented the services of the two telcos as he cited data from the National Telecommunications Commission that said 63 percent of the archipelago had no signal in 2016.