Local telco PLDT said it is prepared to face potential new competitors in the Philippine telecommunications market, including satellite connectivity providers reportedly planning to enter the country this year.
Speaking during the company’s recent earnings press conference, PLDT chief operating officer and network head Menardo “Butch” G. Jimenez said the company remains confident in its network position despite the possible arrival of new players offering direct-to-cell satellite services.
“We don’t know exactly who is coming in or what specific services they intend to offer, but as with any potential entrant, we take competition seriously,” Jimenez said.
He said PLDT’s approach has always been to strengthen its own capabilities while responding aggressively to competition.
“Our job is to compete and to win,” he said. “Historically, it is easier to compete with new entrants than with players that already have established scale. Our strategy is to be proactive from day one.”
Jimenez also expressed skepticism over the current performance of direct-to-cell satellite technology, citing limitations in user experience based on existing tests.
“At this particular point in time, we’re not as scared of direct-to-cell technology,” he said. “Basic services such as SMS can take as long as four minutes to send and another four minutes to receive — if you’re lucky.”
He added that data-heavy applications such as video streaming remain impractical on current direct-to-cell satellite systems, although he acknowledged the technology is expected to improve over time.
PLDT, however, said satellite connectivity could still play a complementary role, particularly in remote areas or as backup connectivity.
“Satellite services can be useful, especially as redundancy in hard-to-reach areas,” Jimenez said. “But for everyday connectivity, customers expect fast, reliable, and seamless service.”
The remarks come as the Philippine government continues to expand satellite-based Internet programs in underserved areas through initiatives such as the PIALEOS project, or Provision of Internet Access via Low Earth Orbit Satellites.
Led by the Department of Information and Communications Technology in partnership with Data Lake Inc. and We Are IT Inc., the nationwide initiative aims to deliver high-speed satellite internet to geographically isolated and disadvantaged areas using low earth orbit (LEO) satellite technology, primarily through Starlink systems.
The project has connected 5,776 public schools nationwide and is considered one of the country’s largest government-backed connectivity programs.
Aside from schools, the initiative has also been used to support connectivity requirements for remote government facilities, including component museums under the National Museum of the Philippines.
PLDT and Smart currently provide mobile coverage to about 97% of the Philippine population, according to Jimenez.
“These services will get better, and when they do, we also have to get better,” he said. “Our focus remains on delivering the best possible service for the Philippines.”
Jimenez also welcomed competition from new entrants.
“If they want to work with us Philippine telcos, then good. But if they want to directly compete with us, then let’s slug it out,” he said. “We are not going to back out from that fight.”
