News – PH – The China-backed telecom newcomer from the Philippines approves testing for launch

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MANILA – The China-backed company that intends to take over the Philippines’ telecommunications duopoly will finally go into commercial operation next month and pass a test of its network

The technical audit was the last major hurdle for Dito Telecommunity, which has pledged to invest $ 5 billion in a market dominated by PLDT and Globe Telecom.President Rodrigo Duterte has frequently attacked both companies for poor service and it for the political goal to offer the country better and cheaper telecommunications

Ditto’s arrival also strengthens Duterte’s controversial fulcrum in China to secure investment from Beijing while also resolving a maritime dispute in the South China Sea

Ditto is 40% owned by state-owned China Telecom, while 60% is owned by Duterte’s campaign donor, Dennis Uy,

through companies he controls

Ditto’s audit should show that it met its own coverage and speed commitments before going into commercial operations, the company is being audited annually based on its five-year engagement when it won a telecommunications license auction in 2018 that could fail to deliver on its commitments Cause a forfeited 257 billion peso ($ 528 million) performance bond

Based on recent tests, Dito’s network comprised 3,748% of the national population, according to the state regulator, the National Telecommunications Commission, citing a report by independent auditor RG Manabat & Co, a local accounting firm that easily tops the 3703% that Dito promised in 2018

Meanwhile, Ditto’s average broadband speed was 859 Mbit / s for 4G and 5075 Mbit / s for 5G, exceeding its promise of at least 27 Mbit / s

The Philippines’ average internet speed was 2577 Mbit / s for mobile devices and 327 Mbit / s for fixed broadband according to the Ooklas Speed ​​Test Index in January. This put the Philippines in 86th place in the list of over 140 countries Space for mobile devices and the 100 Space for landline

“It should be noted that there are no participants in the network at this point in time. Ditto should be launched commercially in March 2021,” the National Telecommunications Commission said in a statement

Ditto had planned to start services last year, but bans due to the COVID-19 pandemic delayed the introduction.The technical audit was originally scheduled for July 2020

“Dito’s entry into the telecommunications industry is a welcome development,” said the National Telecommunications Commission. “Healthier competition within the industry fulfills President Duterte’s promise to the Filipino people to get better telecommunications service through lower prices and improved Internet speeds.”

PLDT is supported by the Japanese NTT Group and Hong Kong-listed First Pacific, while Globe Telecom is a joint venture between the Philippines Ayala and Singapore Telecommunications

Ditto will also compete with fiber optic internet service provider Converge ICT Solutions, supported by US Warburg Pincus Fund

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Technical Audit, National Telecommunications Commission, Philippines

News – PH – China-backed telecom newcomer to the Philippines approves tests for launch

Source: https://asia.nikkei.com/Business/Telecommunication/Philippines-China-backed-telco-newcomer-clears-tests-for-launch