Taking Down Goliath: What DITO’s Entry in the Mature Philippine Telecommunications Industry Can Teach Us

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1Q 2020 | IN-5669

 

A Seat at the Table

NEWS


The Philippines’ newly launched Mobile Network Operator (MNO) DITO Telecom is resolute in its ambitions to disrupt the long-entrenched duopoly of current MNO market incumbents GLOBE and the Philippine Long Distance Telephone company (PLDT). DITO Telecom has recently announced that it would be increasing its initially outlined mobile network infrastructure investments budget from US$5 billion to upward of US$6 billion. This investment is part of DITO Telecom’s ambitious intention of securing 30% of the nation’s domestic mobile market in its first three years of operation.

Expected to commence commercial operation in the second quarter of 2020, DITO Telecom confronts a tall task in competing with the long-tenured telecommunications companies of the nation.

Introducing Competition

IMPACT


The Philippine telecommunications sector has been dominated by the private duopoly of PLDT and Globe since its deregulation in the early 1990s. As of June 2019, Globe has acquired 57% (up from 53% in 2018) of market share while PLDT corners the …

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