MANILA, The Philippines-The Gokongwei-owned Digital Telecommunications Philippines (Digitel) plans to invest 6 billion Philippine pesos (US$113 million) next year for its nationwide wireless telephone network in its bid to become the preferred full service telecommunications provider in the country.
The amount is in addition to the 11 billion pesos (US$206 million) Digitel earmarked for setting up its wireless infrastructure this year, the company said.
The company’s digital GSM wireless network is being installed by Alcatel and has been designed to accommodate 1.5 million subscribers upon completion. It is envisioned to easily handle millions of text messages per day and will be fully enabled for General Packet Radio Service (GPRS) applications.
Digitel will sign interconnection agreements with other fixed-line network operators prior to the commercial launch of its wireless service to enable the company’s wireless customers to place and receive calls. In addition, Digitel has entered into international roaming agreements with some 20 foreign operators.
Digitel will compete with industry leaders, Globe Telecom and Smart Communications, when it launches its cellular service. Millicom International Cellular, majority owner of analog operator Extelcom, said this week it plans to sell its Extelcom stake and take a writedown on the business (see “International” news).
