Globe signs fresh deals during President Duterte’s China visit

LISTED telecommunications giant Globe Telecom, Inc. has signed $750 million worth of deals with Nokia and two technology companies based in China during President Rodrigo R. Duterte’s state visit there.

In a statement released on Friday, the no. 2 largest telco company said the agreements will accelerate its use of new Long-Term Evolution (LTE) technologies across the country for over a period of 5 years, improving its broadband services.

The deals were with Huawei Technologies, Nokia and Wuhan Fiberhome International Technologies, it said. Globe has nurtured long ties with Huawei, signing in November last year a partnership for its 3G and 4G network.

“Globe is deeply committed in giving a wonderful experience to our customers by continuing to build and invest on our network. We are confident that our collaboration with Huawei, Nokia and Wuhan FiberHome will translate into a more robust Globe network that will meet the country’s future digital demands,” Globe President & CEO Ernest L. Cu said in the statement.

Mr. Cu and Globe Director Fernando Zobel de Ayala signed a memorandum of confirmation with Chen Yuhua, the head of Nokia international business, for the project’s rollout in Visayas and Mindanao.

The deal with Huawei covers deployment of LTE spectrum in Luzon.

Globe said that the project would provide wider LTE coverage and better indoor penetration, through an estimated 4,600 sites in the country. This would increase data and fixed-wireless broadband capacity to provide telecommunications services in order to provide access to areas of the country that currently have no access to broadband.

Morever, the telco noted that the project would strengthen telecommunications infrastructure and address the adverse impact of typhoons.

Globe signed a separate memorandum of confirmation with Huawei and Nokia for the capacity expansion program for its corporate data network.

Globe has also tapped Huawei and Wuhan FiberHome for a plan to build a fiber infrastructure to support the rollout of fixed broadband lines in the country. Fiber optics will be deployed to about 20,000 barangays by 2020 which, according to Globe, would provide ultra-fast internet access to around 2 million homes nationwide.

Globe shares fell 0.42% to close at P1,892 per piece. -- R.S. C. Canivel

source:  Businessworld