Globe Telecom Inc. on Friday asked the administration of President-elect Rodrigo Duterte to invest in internet infrastructure in rural and remote areas, which can be leased out to telecom operators.
Globe president and chief executive Ernest Cu said broadband development was also relevant in communities where even basic infrastructure services such as roads and bridges were lacking.
“Studies and experience have shown that broadband access creates significant impact on the development of marginal areas as this allows the community to conduct business with people all over the world, get information on education, health and government services,” Cu said.
Telecommunication operators such as Globe, however, are unable to deploy infrastructure in rural areas due to “business viability issues.”
“There are a lot of localities in the country that cannot be reached economically. What we propose is for the government to build the infrastructure, such as submarine cables, and then rent these facilities out to telco operators,” he said.
Cu cited the case of Sulu and Basilan provinces in the Autonomous Region for Muslim Mindanao, where Globe was asked to address connectivity issues in the area.
Globe needs to build a submarine cable system, amounting to $30 million to $35 million to provide adequate connectivity for the area, a great expense considering the area’s low revenue base.
Cu said establishing internet infrastructure should be treated similarly to building roads. He said that unlike private corporations, which needed to recover their capital spending within a short period, the government could afford a much longer time to recover its investments.
He said the entire country would not be able to optimize the benefits of broadband connectivity unless the government was willing to invest in developing internet infrastructure in “missionary routes”.
Globe launched early this year a nationwide infrastructure program to enhance the country’s internet experience within homes and across businesses.
