"In assessing the merits of the Digitel transaction, we encourage [the] government to adhere to the principle of protecting consumers, rather than market rivals," he said during the annual PLDT shareholders general meeting last week in Makati City.
Last March 26, PLDT announced its plan to invest in Digitel, which Pangilinan described as a "game changing" move in the country's telecommunications industry.
PLDTs planned acquisition of JG Summit Holdings Inc.'s 51.55 percent stake in Digitel has come under scrutiny as it will reportedly give the already dominant telco some 70 percent of the mobile market.
Digitel is the 100 percent owner of Digitel Mobile Philippines, which owns the Sun Cellular brand.
Pangilinan said the investment of PLDT, which owns Smart Communications Inc., in Digitel will have the following benefits:
* Sun Cellular subscribers will enjoy and experience expanded 3G and broadband coverage, as well as enhanced network capacity resulting from optimized use of both company's networks;
* The combined networks will result in accelerated rollout of new technologies such as 4G or Long-Term Evolution (LTE). Sun Cellular subscribers will share in the benefits of 4G/LTE earlier than planned.
* Given the preference of certain segments of the market for "unlimited" service, PLDT can bring the benefits of Sun Cellular's market and operational leadership in "unlimited" services to Smart's subscriber base;
Digitel's fixed line subscriber will benefit from PLDT's nationwide digital fiber optic network and international cable and satellite facilities. In particular, Digitel's fixed line subscribers will experience faster rollout of broadband services, and;
* Smart, alongside Sun Cellular, will be in a position to advance and accelerate the former's "internet for all" advocacy, and make mobile broadband widely available and more affordable to Filipinos nationwide. PLDT's Smart is committed to providing mobile broadband services to 95% of the country's geographic areas in three years.
Globe Telecom Inc. earlier asked the government to intervene in PLDT's planned purchase of Digitel, claiming the possible return of monopoly.
