PLDT Inc. chief operating officer and head of network Menardo Jimenez said Monday the company is unfazed by the entry of satellite connectivity providers into the Philippine market this year, noting that it is open to competition and remains confident in its network leadership position.
Jimenez underscored the long-standing approach of PLDT to competition, which is to respond decisively while continuing to strengthen the capabilities of the company.
“We don’t know exactly who is coming in or what specific services they intend to offer, but as with any potential entrant, we take competition seriously,” Jimenez said.
“Our job is to compete and to win. Historically, it is easier to compete with new entrants than with players that already have established scale. Our strategy is to be proactive from day one,” he said.
Noting that initial information indicated that these firms are direct-to-cell satellite providers, Jimenez also offered a measured view of the current state of the technology based on existing market tests and user experience.
“At this particular point in time, we’re not as scared of direct-to-cell technology,” he said, adding that the customer experience still leaves much to be desired.
“Basic services such as SMS can take as long as four minutes to send and another four minutes to receive–if you’re lucky. Data heavy applications like video streaming are not practical today through direct-to-cell technology. That said, these technologies will likely improve over time,” he said.
Jimenez said that PLDT is not dismissing satellite connectivity, noting that it can play a complementary role, particularly in niche or backup use cases.
“Satellite services can be useful, especially as redundancy in hard-to-reach areas,” Jimenez said.
“But for everyday connectivity, customers expect fast, reliable, and seamless service,” he said.
He also pointed to the extensive reach of the mobile and fixed networks of PLDT and Smart.
Jimenez said their mobile coverage today reaches about 97 percent of the population, noting that this means satellite connectivity addresses a very specific segment of use cases rather than the daily needs of most Filipinos.
Jimenez acknowledged that satellite technology will continue to evolve and PLDT intends to evolve alongside it.
“These services will get better, and when they do, we also have to get better. Our focus remains on delivering the best possible service for the Philippines,” he said.
“If they want to work with us Philippine telcos, then good. But if they want to directly compete with us, then let’s slug it out,” Jimenez said.
