This week Court of Appeals denied the Philippine Competition Commission petition to proceed with its investigation on PLDT and Globe Telecom’s acquisition of a competitor’s assets.
The court kept its injunction on the watchdogs’s review. It then directed the body to remove from its website a note which said that the P70-billion (1.4bn USD) deal was likely to restrict competition in the telecommunications field.
The concern comes from the two when the largest telcos bought San Miguel’s telecommunications assets in May last year. This effectively stopping the entry of a third industry player.
“That’s a brilliant move by the Court of Appeals,” First Metro Asset Management president Gus Cosio told ANC’s “Market Edge with Cathy Yang.”
Cosio said “there’s nothing anti-competition” about PLDT and Globe sharing San Miguel’s assets, since this will likely improve service.
“The PCC should focus on making us more competitive rather than hounding companies that are trying to provide good service to the population,” Cosio said.
Full Content: CBN
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