PLDT expects annual savings of up to PHP1.5bn from Digitel integration

9 May 2013

Philippine Long Distance Telephone Company (PLDT) is hoping to save between PHP1 billion and PHP1.5 billion (USD24.5 million and USD36.8 million) per annum once it completes the full integration of Digital Telecommunication Inc’s, (Digitel’s) networks next year. The larger telco has embarked upon a three-year programme to absorb Digitel and its Sun Cellular mobile brand, since completing the acquisition of a majority stake in the company in 2012. According to PLDT president Napoleon Nazareno, his company has already made annual savings of around PHP500 million from the rationalisation of some 560 base transceiver stations – a figure PLDT expects to rise once the integration of its own mobile arm Smart Communications and Sun Cellular is completed by the end of 2014. However, Nazareno has been keen to stress that Digitel employees will not be directly affected by the integration, although he concedes that the ongoing migration of Digitel fixed telephony subscribers to its new parent has led to the implementation of a redundancy programme for its employees.

Philippines, PLDT Inc. (incl. Smart Communications and Sun Cellular)