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GlobeTel to regulator: Be fair in applying rules
Group of Pinoy bizmen back CAP
PNB prexy quits
Espinoza: Bright outlook for tuna, oyster sellers
Tax notes: Regulations for economic zones


Tuesday, April 05, 2005
GlobeTel to regulator: Be fair in applying rules
By Jessica Banzon-Natad
Sun.Star Staff Reporter


Manila—THE Ayala-led Globe Telecom is urging the government to be fair and consistent in the imposition of the rules and regulations in the cellular phone service industry, especially on the quality of the services.

During a press conference after Globe’s annual stockholders’ meeting at the Manila Intercontinental hotel yesterday, Globe president Gerardo Ablaza said the National Telecommunications Commission (NTC), which has set standards for cellular phone services in the country, has failed to impose the same standards on new player Sun Cellular.

“We are just asking for NTC to impose the same standard that it has imposed on us and our major competitor (Smart Communications). We are not saying that a third or a fourth or fifth provider must not exist. But whoever plays in the industry must play within the same rules of the game,” he said.

Globe has filed a complaint with the NTC against the “eat-all-you-can” service of Sun Cellular, which has “affected the quality of its services” to its subscribers.

Ablaza recalled the time when the NTC questioned the network capacity of Globe when subscribers complained of network congestion.
“They ordered us to stop selling until we were able to improve network quality,” he said.

Sun.Star has heard complaints of the lack of network coverage of the Gokongwei-led Sun Cellular, which is offering unlimited text messaging and calls for a fixed monthly rate.

Ablaza said the standard set by the NTC is that 93 percent of every 100 calls by cellular phone subscribers must connect successfully.

Globe corporate and regulatory affairs head Rodolfo Salalima said the service of its competitor is a violation of this standard set by the NTC.

“If there is a standard, why not impose it? If they can’t impose the standard, they can either lower the standard or abolish it,” he said.

Meanwhile, Globe announced that its net income last year increased nine percent to P11.3 billion from P10.3 billion in 2003. Its subscriber base also expanded to 12..5 million for the same period.

Globe credited this growth to its focus on the mass market segment in 2004.

To establish a stronghold in the mass market, Globe introduced more value transfer services last year, such as Ask-a-load, call and text collect, and Txt Bak Mo Libre Ko.

Globe also addressed the connectivity needs of overseas Filipino workers by launching Globe Kababayan Quick Remit and Load.

The company complemented its reload services with a wider geographic coverage of the country as it added 1,156 new cell sites in 2004, ending the year with a total of 3,736 cell sites. With a more extensive reach of the Philippines’ provinces, Globe also built up its nertwork of Autoload Max retailers, ending 2004 with 737,000 registered retailers.

To maintain its gains, Globe will continue its aggressive expansion program through 2005, with P17 billion set aside for capital expenditures.

(April 5, 2005 issue)
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