Antitrust measures could hinder developments in Filipino telecoms market
19 September 2011 |
PLDT’s proposed takeover of Digital Telecommunications Philippines is continuing to be delayed as the government mulls over whether the move will violate antitrust provisions.
According to reports, the delays in the government’s decision are causing many other network-related investments or expansion plans to be put on hold by the National Telecommunications Commission (NTC).
An antitrust law aimed at opposing monopolies is pending in the Philippines and an investigation has been launched to ensure the potential takeover does not violate antitrust provisions.
A hearing against the takeover was completed in late July and according to reports the NTC has 90 days to come to a decision on the deal, meaning it is unlikely the matter will be resolved until late October.
PLDT has also been caught up in further controversy recently after a Supreme Court ruling found the company in breach of foreign ownership law limits (click here). Its rival Globe Telecom subsequently requested that the NTC revoke licences issued to PLDT (click here).