MERGED: Smart buys Digitel (Sun Cellular)

[ong76win2]

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PLDT accuses Globe of forum shopping, seeking unfair concessions from government

I can't post the whole article here because of copyright constraints. Please refer to the link below.

Source: PLDT accuses Globe of forum shopping, seeking unfair concessions from government | Inquirer Business

[ong76win2]

Globe spreading false info to win public support: PLDT
By Nelson C. Bagaforo
Tuesday, June 21, 2011

MAKATI CITY -- Telecommunications giant, the Philippine Long Distance Telephone Company (PLDT), has accused Globe Telecom of spreading "false information" over claims by the Ayala-led telco that PLDT has refused interconnection in at least 31 provinces in the country.

"The problem with Globe is that it tries, vainly, to win public support by spreading false and misleading information," lawyer Ray C. Espinosa, PLDT head of regulatory affairs and policy, told provincial media in a press conference shortly after the PLDT annual stockholders meeting last week at Dusit Hotel here.

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In a statement, Globe claimed that consumers have to pay for "PLDT's monopolistic arrogance" because without the interconnectivity, calls between the two carriers are charged long distance rates although their subscribers are within the same area or province.

But Espinosa disputed Globe's claims, saying it was Globe that requested the PLDT to prioritize eight areas that are "deemed workable after tehnical discussions between the two carriers."

PLDT and Globe have agreed on the locations and schedules for commercial activation and expect to complete interconnection within 2011.

These locations included the following: Pampanga (June 17); Laguna (July 13); Quezon (August 3); Bulacan (August 26); Zamboanga (September 30); La Union (October 15) and Benguet (October 31).

"The remaining 23 areas, which have been agreed for negotiation next year, have certain problems beyond the control of PLDT and Globe because of LGU-related issues, such as permits, taxes, etc." Espinosa said.

He said PLDT and Globe are at present interconnected in 11 major areas, to wit: the Greater Metro Manila, Batangas, Cavite, Cebu, Davao, Iloilo, Roxas, Negros Oriental, Negros Occidental, Leyte and Bohol.

Espinosa said while interconnection among operators is mandatory, the law requires that it shall be "negotiated and effected through *****eral negotiations by the parties involved."

Globe claimed there are more than 3 million landline subscribers, including households and offices, which easily means six to nine million consumers, who stand to benefit from the interconnection of telecom providers.

"PLDT's failure to connect, intentional or otherwise, is PLDT's way of killing competition because the dominant carrier has every incentive to delay interconnection," Globe said in a statement.

"Globe abides by the law and regulations that mandate interconnection and continues to upgrade its network nationwide to provide the best customer experience to the public," it said.

Published in the Sun.Star Davao newspaper on June 22, 2011.

Source: Globe spreading false info to win public support: PLDT | Sun.Star

[Albrecht]

ok2 lang unta to haron manindut pud ang signal sa sun cellular.. ang problema kay maless na nuon ang competition and thus dali napud au nila ma-manipulate ang charges sa loads.. tsk! tsk! tsk!

[ong76win2]

Consumer group urges NTC to favor public in PLDT-Digitel deal
GMA News OnlineGMANews

A newly formed consumer group has called on the National Telecommunications Commission (NTC) to rule in favor of consumers in the share-swap deal between Philippine Long Distance Telephone Co. (PLDT) and Digital Telecommunications Philippines Inc. (Digitel).

Contrary to what PLDT is purportedly saying, the deal is not merely a business transaction but an eventual monopoly of the telecom firm, should it be approved, Samahan Laban sa Monopolyo (SLaM) said in a statement Wednesday.

"We urge the members of the Commission to be true to their mandate and rule with the interest of the consumers in mind," said Jess Sandow, convenor of SLaM.

The deal is of public concern and should not be relegated to talks only among the telecom firms and the NTC, Sandow said

"We are talking about the impact of this trend that will bring us back to the monopoly regime that made us consumers at the mercy of a single telephone company giant," he explained.

PLDT earlier downplayed allegations that the deal is anti-competition, insisting that they intend to keep Digitel and all its services as a separate company.

“We will make a formal commitment to the government for the benefit of consumers," PLDT chairman Manuel Pangilinan said.

Should the deal be approved, the PLDT group will hold a commanding 70 percent of the telecommunications market, leaving second-ranked player Globe Telecom with only 30 percent.

Globe had urged the NTC to redistribute the frequencies PLDT will eventually hold, saying it could potentially kill their business — given the scarcity of the resource — and have a negative impact on consumers.

"All we want here is a level playing field. [The PLDT-Digitel deal], to our mind, is dangerous. When a carrier exercises so much clout, you are endangering the welfare of the public," Globe corporate counsel Rodolfo Salalima said.

As of Wednesday, the joint application of PLDT and Digitel is on its third hearing before the NTC.

The commission has already set the dates of the succeeding hearings on the first week of July, where PLDT and Digitel will present a third and fourth witness who will testify for the compliance of the application with the requirements set by the NTC.

It has also set July 12, 13 and 14 as the dates when oppositors to the deal can present their own witnesses.

After the presentation of witnesses, the case will then be elevated to the commission en banc for resolution.

PLDT had earlier signified willingness to extend the June 30 deadline for completing the deal, should the commission fail to release a resolution before the said date. — JM Tuazon/VS, GMA News

Source: Consumer group urges NTC to favor public in PLDT-Digitel deal - Yahoo! News

[glasmonfagot]

hope this is true!

[cherlymosqueda]

basta nigusyante buhaton tanan nga madato samot sila......

[ong76win2]

Globe raises doubts on rival’s unli pledge
By Cheska D. Geli
Wednesday, June 22, 2011

GLOBE Telecom counsel Rodolfo Salalima recently expressed doubt on the promise of Philippine Long Distance Telephone Co. (PLDT) to maintain Sun Cellular’s “unlimited” or bucket offerings despite the merger between PLDT and Digital Telecommunications, Inc. (Digitel).

“Given PLDT’s track record of unfulfilled promises in the telecommunications industry, it is highly unlikely that they will follow through on their verbal commitment to retain the “Unli” plans,” said Salalima in a press statement.

PLDT chair Manuel Pangilinan was quoted in an earlier report as saying that the fear of ending “unli” and bucket pricing schemes are unfounded. He added that PLDT is prepared to make a formal commitment to the NTC to retain the “unli” plans.

This was in response to lawmakers’ and consumer advocacy groups’ concerns about PLDT cancelling ‘unlimited’ plans for text and call services of Sun Cellular immediately after the deal was announced.

“If PLDT cannot fulfill its commitment to the Supreme Court itself, how can we expect it to fulfill a promise that is not binding in law,” said Salalima, referring to Supreme Court orders for interconnection between telecommunications firms 21 years ago. (PR)

Source: http://www.sunstar.com.ph/cebu/busin...-pledge-162685

[cassiopeia]

hopefully the CSRs of sun will be a tad bit more SMARTer and nicer.. haha ni twag ko sun hotline para mangutana if kinahanglan ba jud mu adto ug sun shop para ma activate ang blackberry chuva,gitubag rapud ko ug "we don't have settings for blackberry yet." aw,mas maayu pa diay to ako sun prepaid mka internet pku...

[ong76win2]

Group calls on government to look into consumer welfare in PLDT-Digitel deal
By Mia A. Aznar
Tuesday, June 28, 2011

RIVAL telcos are not the only ones speaking out against the merger of the Philippine Long Distance Telephone (PLDT) Co. and Digitel Telecommunications Philippines Inc.

A newly-organized group that is against monopolies is touring the country to urge the government to make sure the welfare of consumers is not compromised in the deal.

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The Samahang Laban sa Monopolyo (Slam), with the help of Freedom from Debt Coalition, Sanlakas and University of San Carlos law student council Lex Circle, kicked off their tour of major cities yesterday, starting in Cebu.

Jess Sandow of Slam explained that they have been planning to start a group to fight the creation of monopolies for a while but said that the news of the merger of PLDT and Digitel, which owns Sun Cellular, was what pushed them further last May.

Epee Casuncad of Slam told participants of a forum that it did not matter if PLDT and Digitel decided to become one company.

What bothers them, he said, is the distribution of frequency.

He explained that PLDT currently holds 50 percent of the frequency, while 30 percent is allocated to rival Globe Telecom and 20 percent to Digitel.

Should the merger be completed, Casuncad pointed out that PLDT, which owns Smart Communications, would now hold 70 percent of the frequency allocation.

The group believes that a monopoly in the telecommunications industry would violate or dismiss the consumers’ rights to fair and quality goods and services and their right to choose.

The group fears that with such dominance, PLDT will be able to resort to cutthroat
pricing, distort connections to other telecommunications companies and reroute traffic to other areas to delay transmissions.

Casuncad said they are calling on the government to make sure the frequencies are evenly distributed and not to allow PLDT to control more than 50 percent of what is currently allocated to them.

Sandow told reporters that after their visit to Cebu, they will be bringing the forum to Davao, Iloilo, Baguio, Dagupan and Metro Manila.

They are calling on the public to participate in an activity they are calling SLaM hour, wherein subscribers will not call or text for an hour from noon to 1 p.m. on the day President Aquino is expected to deliver his State of the Nation Address.

The group believes the action will express the voice of the public.

They are also advocating for the passage of anti-trust bills, which are pending before the senate and congress.

“The telecommunication airwaves or frequency is a public domain that should be the subject of government regulation. This is an important infrastructure to safeguard the people against corporate greed. It should not be controlled by any single compaby to ensure true and fair competition among the different players while the consumers’ welfare are duly protected,” Sandow said.

In a paper distributed during the PLDT annual stockholders meeting, Ray Espinosa explained that the NTC allocates frequency based on a company’s ability to use it “efficiently and effectively to meet public demand for telecommunications service.”

He also said that PLDT and rival Globe are interconnected and continue to interconnect in at least 10 major provinces.

Published in the Sun.Star Cebu newspaper on June 28, 2011.

Source: Group calls on government to look into consumer welfare in PLDT-Digitel deal | Sun.Star

[ong76win2]

Merger won’t create monopoly: PLDT
By Mia A. Aznar
Tuesday, June 28, 2011

EVEN if they see the joining of two telecommuncations companies as advantageous, the Philippine Long Distance Telephone (PLDT) Co. does not believe their merging with Digitel Philippines Inc. will result in a monopoly.

Ramon Isberto, who heads PLDT and Smart Communication’s public affairs, pointed out that aside from Globe Telecom, the San Miguel Corp. (SMC) has been vocal about its plans to become another player in the industry.

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He added that despite Globe’s claims of being disadvantaged, they feel the company is still a strong competitor.

Isberto noted that both companies are “very capable” and “well-established” business groups with well-funded foreign partners like Singapore Telecom for Globe and Qatar Telecom for SMC.

“By no means will the transaction make PLDT the only player in town. Nor will competition in the telecom industry slacken. It would be frankly foolish for PLDT to expect competition to weaken,” Isberto said.

Isberto issued the statement after the Samahang Laban sa Monopolyo (Slam) aired their opposition to the deal between PLDT, which owns Smart Communications and Digitel, which owns Sun Cellular.

The group called on the government to study the deal and make sure PLDT does not gain control of over 50 percent of the frequencies or else they will gain significant advantage over their competitor and would become a monopoly in the industry.

Isberto also said the claims of Slam that they will control over 50 percent of frequencies is wrong, although he noted they will have more frequency allocation than Globe.

He pointed put that combined, Smart and Sun will have a total 155 MHz while Globe will have 90 MHz.

“But that’s not surprising considering that Smart and Sun combined had, as of end-2010, more than double the number of subscribers of Globe–59.6 million versus only 26.5 million. In short, we have more frequencies because we have more subscribers,” Isberto said.

Globe, however, has claimed that Smart and Sun will enjoy a combined 372 MHz of 3G and CMTS frequencies while they are only allocated 99MHz of these frequencies.

Isberto said he found it odd that Slam would consider a company bringing down prices of services as a foul tactic, saying a consumer group would actually welcome low prices.

He assured that the government regulators have the power to intervene if any operator resorts to under-handed tactics.

Isberto reiterated that their investment in Digitel should be assessed from the standpoint of consumers and that they believe consumers will benefit from the more effective and higher quality services that will result from the combining of their resources.

As for the group’s call to shut off their phones for an hour on the day of the state of the nation address as a sign of protest, Isberto shrugged it aside.

“Slam is, of course, free to call on people to turn off their handsets for an hour.

But this does not help anyone and serves no useful purpose,” he said.

Published in the Sun.Star Cebu newspaper on June 29, 2011.

Source: http://www.sunstar.com.ph/cebu/busin...ly-pldt-163778