A bill to improve internet connectivity in the Philippines by increasing competition has become law, despite objections from major telecom companies.

Presidential Communications Office Undersecretary Claire Castro said a bill that isn’t signed or vetoed by the president becomes law 30 days after being sent by Congress.

The law aims to streamline licensing, support infrastructure sharing, and open the market to new and smaller providers.

PLDT and Globe Telecom, the country’s leading firms, criticized the law as unfair to incumbents.

A PLDT executive said the company may challenge its constitutionality, citing discrimination against local firms that have invested in infrastructure.

Globe Telecom earlier urged the president to return the bill to Congress, warning of regulatory imbalance, uneven competition, and lack of oversight for new entrants.

🔗 Source: Bloomberg

🧠 Food for thought

1️⃣ Philippine telecom regulation follows decades-long liberalization trend

The Konektadong Pinoy bill represents the latest step in the Philippines’ 25-year journey toward telecommunications liberalization, which began with the E-Commerce Act of 20002.

This regulatory evolution has consistently aimed to increase competition and digital access, with the country’s digital economy projected to reach $35 billion by 2025, driven largely by increased reliance on digital technologies following COVID-192.

The progression shows how the Philippines has gradually reduced barriers to entry in telecommunications, moving from basic e-commerce frameworks to comprehensive competition-focused legislation.

Each regulatory milestone has built upon previous reforms, creating a cumulative effect that positions the country to capture significant digital economic growth over the next few years.

2️⃣ Competition authorities and incumbents hold predictably opposing views on market entry

The sharp divide between regulatory support and industry opposition illustrates a common tension in telecom policy reform.

The Philippine Competition Commission endorsed the bill, emphasizing that enhanced competition leads to lower costs and improved service quality for consumers3.