MANILA, The Philippines-Philippine President Gloria Arroyo has approved a 25-year franchise application of Gokongwei-owned Digital Telecommunications (Digitel) to operate a cellular phone firm.
To be operated by Digitel Mobile Philippines, which was spun off from Digitel, the newly signed franchise application would allow the telecommunication firm under RA 9180 to “construct, install, establish, operate and maintain a telecommunications system throughout the country.”
Digitel will be the fifth company to enter the highly competitive mobile-phone telephone service, whose players currently include Ayala-owned Globe and subsidiary Isla Communications (Islacom), PLDT-owned Smart Communications and PLDT-affiliate Pilipino Telephone (Piltel), all of which provide digital service, and Extelcom which is still using analog technology.
Digitel’s entry into the cellular mobile telephone system (CMTS) will cost US$180 million by the end of the first phase that targets the installation of 681 cell sites all over the country.
