PLDT to challenge ‘Konektadong Pinoy’ bill
PLDT Inc., a telco titan backed by billionaire Manuel V. Pangilinan, may challenge the “Konektadong Pinoy” bill before the Supreme Court, as it is feared to wreak havoc in the industry given its allegedly questionable provisions.
PLDT senior legal advisor to the chair, Marilyn Victorio-Aquino, said that if President Marcos signs the bill into law, the group may opt to bring the matter to the court and “raise the issue of constitutionality.”
The bill, which was certified as urgent by Marcos, is set to lapse into law by August 24.
The official said that the bill sought to provide “so much benefits” to data transmission providers that are not available to existing telcos.
Since a franchise would not be part of the requirements, PLDT chair Pangilinan also said the government “cannot compel them to continue the service…”
“Kami dito (In our case), we have no choice. We continue to provide the service regardless of conditions in this country,” he said.
Aquino also pointed out that these providers could have access to their assets without the need to secure cybersecurity clearance.
“You create as many cybersecurity threats for us and for our subscribers,” she told reporters following the company’s financial briefing on Tuesday.
“So we will have our own challenge, both Smart and PLDT, because we are affected in different ways,” she said.
The group was asked by the Office of the Deputy Secretary for Legal Affairs of Malacañang to comment on the bill. Together with Globe Telecom, PLDT also urged the Palace to veto the bill.
Over 1,000 small internet providers are expected to enter the local market once the bill is enacted, as this will streamline permitting and mandate infrastructure sharing.
H1 core profit up 1 percent
Meanwhile, PLDT registered a slight growth in the first half as the telco giant slashed its operating costs, and with its fintech arm Maya propping up the group’s bottom line.
Its core income inched up by 1 percent to P17.6 billion from a year ago.
Telco core income dipped by 4 percent to P17.2 billion from P18 billion. Reported income likewise fell to P18.1 billion from the previous P18.4 billion.
Cash flow, as measured by earnings before interest, taxes, depreciation and amortization, improved by 3 percent to P55.5 billion.
It also saw modest gains in its consolidated service revenues, reaching P97.1 billion, with data and broadband accounting for 85 percent.
It ended the first half with 3.53 million fiber subscribers and 41.6 million active data customers.
