Digital Telecommunications Philippines

Digital Telecommunications Philippines (PSE: DGTL), commonly known as Digitel, is the second-largest fixed-line and the third-largest mobile telecommunications company in the Philippines. It is also the company that owns Sun Cellular, the Philippines's fastest-growing mobile phone service.

The company is owned by JG Summit Holdings, one of the country's largest conglomerates.

Corporate Profile

Established in 1987, Digital Telecommunications Phils. Inc. or DIGITEL is majority-owned by JG Summit Holdings Inc., one of the largest and most diversified conglomerates in the Philippines. DIGITEL continues to be the second largest provider of wirelines in the country in terms of working lines. Through 608 regional and local exchanges, DIGITEL telephones are now available in 276 towns and cities throughout Luzon. As of December 31, 2002, DIGITEL had a total of 618,271 installed lines and 389,967 working lines.
DIGITEL's voice products and services include the provisioning of local call, national and international toll services, enhanced through DIGITEL's suite of value added services, payphones and prepaid phone cards (Digikard brand). Existing foreign carrier correspondentship and domestic carrier interconnection agreements enable sufficient transmission capacities for efficient and cost-effective routing. Quality customer service assistance provided by the MSE Call Center and Customer Service personnel are supported by an intelligent network -based platform accessed by over 300 skilled customer care representatives.

In addition to wireline voice services, DIGITEL's data subsidiary DigitelOne offers corporate customers and consumers access to high-speed data transmission and Internet services. Net direct, a dial-up Internet service, provides easy access to the Internet making DIGITEL, one of the largest Internet Service Providers in the Philippines. In response to future requirements for convergent technologies enabling simultaneous voice and data service transmissions, DigtelOne's ongoing Asymmetrical Digital Subscriber Line (ADSL) roll-out addresses the demand for broadband access in both business and high-end residential markets. DIGITEL's current network expansion commitment to build a fiber-optic broadband backbone facility strategically strengthens the Company's transmission coverage throughout Luzon, the Visayas and Mindanao, ensuring reliable and efficient nationwide connectivity to major metropolitan business and commercial districts.

DIGITEL was awarded the provisional authority for Cellular Mobile Telephone System (CMTS) in the year 2000. It launched its Sun Cellular mobile phone service in year 2003.

DIGITEL Products and Services include DIGITEL Choice Plans, IDD Services, NDD Services, Pakikisama Rate, 108.109 Operator -Assisted Services, Domestic 1-800 Toll Free Services, Domestic 1-900 Premium Services, Digikard Phone cards, Payphone Services, Gas Internet Prepaid Service and Internet Data and Broadband Services.

History

Digital Telecommunications Phils., Inc. (Digitel) was established in October 1987 and commenced commercial operations in January 1992.

In 1993, Digitel was awarded a 30-year exclusive contract by the Department of Transportation and Communications (DOTC) to manage, operate, develop and rehabilitate certain telecommunications systems owned by the DOTC (collectively, the "DOTC System") and which are located in the provincial areas of Luzon under a Facilities Management Agreement (FMA). The FMA also provided for its conversion into a lease contract under certain terms and conditions agreed upon by both parties.

In accordance with the provisions of the FMA, Digitel and DOTC agreed to amend and convert the FMA into a Financial Lease Agreement (FLA). Under the FLA, Digitel was granted the exclusive right to lease, manage, maintain, operate, develop and eventually own the said DOTC facilities.

In February 1994, Digitel was granted a national franchise to provide domestic and international telecommunications services throughout the Philippines. In September 1994, Digitel was granted by the National Telecommunications Commission (NTC) a provisional authority to operate an international gateway facility (IGF). A provisional authority was also secured from the NTC in January 1995 to install, operate, maintain and develop telecommunications facilities in Regions 1 to 5 including the facilities currently leased from DOTC.

On August 7, 2000, Digitel was granted by the NTC a Provisional Authority (PA), authorizing it to construct, install, operate and maintain a Nationwide Cellular Mobile Telephone System (CMTS) using Global System for Mobile (GSM) and/or Code Division Multiple Access (CDMA) technology. Consequently, Digitel has been building a high-powered performance GSM/1800 network with a suite of applications and services.

On December 11, 2002, the President of the Philippines, Gloria Macapagal-Arroyo signed into law, Republic Act No. 9180 granting Digitel Mobile Philippines Inc. (DMPI), a wholly-owned subsidiary of Digitel, a franchise to construct, install, establish, operate and maintain wire and/or wireless telecommunications system throughout the Philippines.

In March 2003, DMPI commercially launched its wireless mobile services under the Sun Cellular brand. It pioneered the unprecedented 24/7 Call & Text Unlimited in October 2004, which propelled unparalleled growth in the wireless subscriber base giving the subscribers good value for their money.

{mospagebreak}  
Related Companies
  • Philippine Long Distance Telephone (ADR) 
  • Philippine Long Distance Telephone Co.  
Management
Ricardo J. Romulo >Chairman of the Board
 
Lance Y. Gokongwei >President, Chief Executive Officer, Director
 
Age: 40
Jaime I. Cabangis >Chief Financial Officer
 
Officer Since: 07/01/2001
Age: 54
Edgar V. Benedicto >SVP - Retail Management , Corporate Sales and Solutions, Dealer Sales - CMTS
 
Teresita C. Castillo >Senior Vice President - Group Comptroller
 
Corazon G. Gamboa >SVP - Marketing, Admin and Logistics & Customer Relations Management
 
Joaquin L. San Agustin >Senior Vice President - Business, LEC
 
John Joey T. Terrenal >Senior Vice President - Network Planning & Development, CMTS
 
Allan S. Santos >Vice President - Sales and Marketing of DigitelOne, LEC
 
Noel F. Del Mundo >Vice President - Human Resources, CMTS
  
Subsidiaries

Digitel is divided into the following subsidiaries:

  • Digitel Capital Philippines Ltd
  • Digitel Information Technology Services
  • Digitel Mobile Phils. d/b/a Sun Cellular
{mospagebreak}  
Products

Digitel's fixed line services are offered under the MANGO, Choice Plans, and DigiFonePal brands. Its cellular service is sold under the Sun Cellular brand, while its broadband Internet services are sold under the MANGO and NetVantage DSL brands.

Sun Cellular

DigiTel Mobile Philippines, Inc. d/b/a Sun Cellular is a mobile telecommunication service provider in the Philippines. The company is a wholly-owned subsidiary of Digital Telecommunications Philippines, or Digitel. It is assigned to an access code of 922/923. The company began its operations in 2003. Its position as a latecomer in the market allowed it to put up infrastructure at lower cost.

Sun Cellular gained popularity because of its "24/7" offer of unlimited text messaging and calls for a fixed price for Sun-to-Sun transactions. This led competing networks Smart Communications and Globe Telecom to offer similar but higher-cost plans.

History of Sun Cellular

Sun Cellular has been up for almost 3 years. It is the fastest growing mobile network in the Philippines. Sun Cellular, having technologies and infrastructure of almost 6-8 years of that of Globe Telecom is a great leap for telecommunications. But coming late into the market may be a little tough for Sun, a whole lot of money must be given for advertising and system improvements.

Brief History
  • March, 2003
    Sun Cellular began operations in major cities of the Philippines
  • October, 2004
    Sun Cellular began to offer 24/7 Call and texts unlimited for 250php a month and 100php for 10 days
    Covered more areas of the Philippines
  • March, 2005 
    Sun Cellular began to offer call and text unlimited for 350php a month and 100php a week
    Sun Cellular began to also offer texts unlimited for 150php a month and 50php a week
    Sun Cellular improved their service much more and increased the capacity of their network
  • February, 2006
    Sun introduced a free voice calls included in texts unlimited cards for 4 hours and 1 hour respectively
  • March, 2006
    Sun increased the price of their texts unlimited cards to 450 and 150 respectively
  • September, 2006
    Sun introduced the 100php call and text unlimited for 5 days
{mospagebreak} 
Regular Services
  • Voice Services 
      - Call Type 
      - Voice Mail Services 
      - Call Management
  • Messaging Services 
      - Local text Messaging 
      - International Text Messanging
  • Multi Media Messaging
  • GPRS
  • Data/Fax
Xpress Load

Sun Cellular's electronic prepaid reload service allows you to load "Over-the-Air" via an accredited Sun Xpress Load Retailer. Aside from giving you FREE SMS every time you purchase regular load, Sun Xpress Load now provides you the ease of a one-stop reload shop by allowing you to purchase the best value Unlimited Services, Special Loads and VAS Subscription, and even other Non-Sun prepaid load for Internet, gaming and landline via OTA.

Regular load

Denomination
Validity
Free Text
20-292 days2
30-393 days4
50-747 days8
77-9910 days12
100-12415 days16
125-14920 days20
1503025

{mospagebreak}  
Popular Strategies

Before Sun entered the market Globe and Smart has been running smoothly and in the heat of competing for the same price of service. While the lower providers or what we so call "Branches" of these two companies namely Touch Mobile and Talk n' Text offers low prices on calls and services. When Sun cellular entered the scene the two big giants where not threatened by this little provider. Sun has been left behind and need to come up with a plan to lure more subscribers to their network and that's when the UNLIMITED madness came. Sun has been able to come up with this strategy to lure customer and the population in growing each week. Ever since all other competing network is copying these strategies until now.

Sun, today is providing the best offers and services for it's subscribers. Sun Cellular is branded as the fastest growing network in the Philippines.

Economic Benefits

Corporate: Before "24/7 Unlimited" has been launched, a majority of medium and large enterprises were spending hundreds of thousands in cellphone bill, with a minimum of P15,000/month for each operation.

Ownership
  • JG Summit Holdings: 47.45%
  • PCD Nominee Corporation: 18.24% (12.69% Filipino, 5.55% foreign)
  • AB Capital Investment Corporation: 12.51%
  • TeliaSonera: 9.44%
  • Digitel executives: 1.21%
  • Public stock: 11.15%
Competition

Digitel's main competitors in the fixed-line and mobile markets are PLDT (PLDT subsidiary Smart Communications in the mobile market) and Globe Telecom.



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Last Updated ( Wednesday, 25 July 2007 02:48 )  
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