Now Corp. is vying to become the third player in competitive mobile phone services market. It recently asked  the National Telecommunication Commission (NTC)  to grant its long pending  mobile frequency. Now Corp. subsidiary Now Telecom has obtained a cellular mobile telephone services (CMTS) license  in 2006 but has yet to obtain  frequencies that would enable it  to compete with  incumbent players PLDT Inc. and Globe  Telecom Mel Velarde,  Now Corp. president and chief executive officer, said if the frequencies are  granted this year, the company can roll out its mobile services next year. The company is allotting an initial investment of P2 billion for the first 300 cell sites which cost $150,000 each . The company will focus on mobile data services to challenge the growing business of the existing telcos but  Velarde said , Now’s  mobile data service will have  “no data cap”  where  a minimum and maximum data speed is set to ensure  superior data experience. At present, there are only two other telcos aside from PLDT and Globe which have CMTS licenses,  Now Corp and ABS-CBN Convergence. NTC  plans to bid out the frequency surrendered by PLDT and Globe and the  3G frequency of Connectivity Unlimited Enterprise Resources (CURE) to a possible third player. Velarde said Now  will participate in the bidding , but emphasized  the bidding should be on the merit of the business proposal not through outright payment saying it would be anti-competition if  government sells the frequency to a  third player and just give the frequencies for free to giant players like PLDT, Globe and San Miguel Corp. Velarde said if Now  bids for the frequency, NTC should ask the three players to pay also all frequencies they now have . Now  plans to roll out the mobile services nationwide in partnership with a foreign firm . Following the approval of the co-use agreement, the two firms had surrendered a total of 85 megahertz excess frequency from several spectrums shared from SMC which includes, 800 mhz; 2300 mhz; 2500; 1800; 2300 and 2600 mhz. These will allow a third player to viably operate a mobile and broadband business in the country. A new player will require  huge capital , and would have to get a joint venture partner and craft a strategic plan to be able to compete with the two profitable telecom players. Now  is currently offering cable, broadband and IT services for enterprises clients . The company is also offering a broadband services in a niche market such as   building owners and enterprise clients. The broadband services with 700 megabits per second speed is currently available in selected cities in Metro Manila. Now  uses  a shared-revenues concept where the building owner will have to  infuse investment on the fiber and bandwidth and gets a commission of from 5 percent to 50 percent depending on the sale of the services . “We will launch this September ,”  Velarde said This year, the broadband service is available in  Metro Manila, but in the first quarter next year it will be expanded in Souther Luzon, Davao, and Cebu . For this year the company has allocated $30 million investment for broadband. Source : http://www.malaya.com.ph/business-news/business/now-vies-be-third-telco

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Business Mirror
by Dennis Estopace
In Photo: This August 19 photo shows executives of Now Corp. discussing the road map of the listed media technology firm (from left) Digital Media Specialist and System Architect Joel Gonzales, President and CEO Mel Velarde and Enterprise Marketing Head Kristian Noel Pura at a hotel in Mandaluyong City.

BREAKING the chokehold by two companies on the country’s telecommunications sector is now up to government, according to Now Corp. CEO Mel V. Velarde.

Velarde said one of the ways the Duterte administration can do so is for the Supreme Court to finally decide on his company’s petition for a 3G license.

“It’s been nine years and some of the players involved in that petition has either been bought or folded,” Velarde told reporters after a news briefing on Wednesday. “We’re the only one left.”

According to Velarde, the listed technology firm is ready to roll out investments once Now Corp. gets the license.
“In a year’s time, we can start rolling out about 300 cellular sites,” he explained. “That would be good for poor Filipinos because it may mean lower prices in mobile broadband access.”

Velarde expects to become a “strong third-player” in the telecommunications sector currently dominated by Globe Telecom Inc. and PLDT Inc.

He added that the company would give the voice and text business to the two firms.

“Ibibigay na namin sa kanila ‘yon,” Velarde said adding the company’s telecommunications subsidiary would concentrate on data.

According to Velarde, the broadband services to enterprise market alone is worth $25 billion.
And that is only being generated by the business-process outsourcing sector, he said. “There’s the second $25 billion, which is generated by remittances by overseas Filipino workers.”

Velarde said the company promises to deliver two things: no overloading and no maximum data cap.

Velarde is challenging the two telcos to disclose the frequency being used by each of their respective cellular sites.

By doing so, he said, the public would be aware how much frequency these companies have but are not using.

Likewise, Velarde said government should look into how these companies acquired these frequencies.

“They got these for free,” he said. “[The] government should at least earn something from these frequencies.”

Velarde believes Filipino consumers should not be short-changed, as “they have the purchasing power greater than what they have six or nine years ago.”

“As long as you offer them quality services, we believe the Filipino consumer would pay even if the service is a little more expensive.”

According to Velarde, the company is putting in $30 million once it receives its license. He said the fund would mostly go into the putting up of cellular sites, which is estimated to cost at $150,000 each.

Velarde said they are open to accomplishing the goal of putting up 300 cellular sites with a foreign partner.

“We’ll let you know who when we get the license.”

Source: http://www.businessmirror.com.ph/2016/08/10/freeing-telco-sector-up-to-government-velarde/

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By: Daxim L. Lucas

Smarting from last February’s $81-million computer heist in its central bank, the Bangladeshi government has ramped up efforts to boost its security capabilities, which includes learning about best practices from the Philippine private sector.
Ranking Cabinet officials from the People’s Republic of Bangladesh recently visited the country to learn about the ins and outs of the business process outsourcing (BPO) and information and communications technology (ICT) industries, especially on issues involving cybersecurity. Their top concern was the need for clear strategic directions on cybersecurity initiatives.
The visit was organized by the Asian Institute of Journalism and Communication (AIJC) in collaboration with Management and Training International (MTI) Limited in Bangladesh. It included workshops and visits to private, government and academic institutions like the ICT Office of the Department of Science and Technology (DOST), the IT and Business Process Association of the Philippines (IBPAP), KLab Cyscorpions Inc., Asia Pacific College, Mapua Institute of Technology (MIT) and Now Corp.

During his lecture on this topic, Mel Velasco Velarde, CEO of Now Corp. and AIJC, discussed specific cases of security breaches experienced by big multinational firms such as Facebook, Wall Street Journal, Ubiquity, Barracuda, LinkedIn, Harmony and others including government-induced errors in cybersecurity.
Velarde emphasized the need for organizations to meet the 20-point “reasonable security” requirements prescribed by top global private and governmental cybersecurity agencies.
“Now Corp. has the capability of complying with these [security requirements] for our customers through our cloaking devices, real-time diagnostics and monitoring tools, counter-attack tools, cyber manpower and other technologies that help prevent hacking, malware, physical breaches or self-inflicted errors—the costs of negligence and non-compliance could run in the billions of pesos,” Velarde said.
He warned the security breach that happened to Bangladesh and elsewhere could happen again if these “critical security controls” were not complied with.
Now Corp. and AIJC committed to help the Bangladeshi government in their areas of expertise such as BPOs, knowledge economics, ICT and cybersecurity.
Velarde also pointed out how Now Corp.’s clients, mostly blue chip companies in the Philippines, were able to successfully implement the firm’s highly secure collaboration software and services, helping to ensure business success.
Velarde expressed willingness to partner with officials from various ministries as they develop and implement a strategic roadmap toward ICT and BPO development in Bangladesh.

Source: http://business.inquirer.net/211881/bangladesh-gets-antihacking-tips-from-ph-experts

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[fbvideo link=”https://www.facebook.com/BloombergTVPh/videos/1793425674227521/” width=”700″ height=”404″ onlyvideo=”0 or 1″] https://www.facebook.com/BloombergTVPh/videos/1793425674227521/

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MANILA, Philippines — High-ranking cabinet officials from the People’s Republic of Bangladesh recently visited the Philippines to learn about business process outsourcing (BPO) and information and communications technology (ICT) including cybersecurity.Managed by the Asian Institute of Journalism and Communication (AIJC) in collaboration with Management and Training International (MTI) Limited in Bangladesh, the study tour and workshop included visits to private, government, and academic institutions—the ICT Office of the Department of Science and Technology (DOST), the IT and Business Process Association of the Philippines (IBPAP), KLab Cyscorpions Inc., Asia Pacific College, Mapua Institute of Technology (MIT), and NOW Corporation.

Of grave concern among the Bangladeshi officials is the need for clear strategic directions on cybersecurity initiatives. During his lecture on this topic, Mel Velasco Velarde, CEO of NOW Corporation and AIJC, discussed specific cases of security breaches that happened with big multinational firms such as Facebook, Wall Street Journal, Ubiquity, Barracuda, LinkedIn, Harmony and others including government-induced errors in cybersecurity.

Mr. Velarde emphasized the need for organizations to meet the “Reasonable Security” requirement (known as the “20 Critical Security Controls” or CSCs) prescribed by top global private and governmental cybersecurity inter-agencies.

“NOW has the capability of complying with these 20 CSCs for our customers through our cloaking devices, real-time diagnostics and monitoring tools, counter-attack tools, cyber manpower and other technologies that help prevent hacking, malware, physical breaches or self-inflicted errors — the costs of negligence and non-compliance could run in the billions of pesos,” Velarde said.

He gave a stern warning that the security breach that happened to Bangladesh and elsewhere can happen again if these 20 Critical Security Controls are not complied with.

Both NOW Corporation and AIJC committed to help the government of Bangladesh on any area of expertise such as BPO, Knowledge Economics, ICT and cybersecurity.

Velarde also pointed out how NOW Corporation clients, mostly blue-chip companies in the Philippines, have successfully implemented their highly secure collaboration software and services that help ensure business success. Velarde expressed willingness to partner with the officials from various ministries as they develop and implement a strategic roadmap towards ICT and BPO development in Bangladesh.

On July 27, another forum entitled “Eighty-One Million Dollar Heist and Security Implications in the International Financial Sector” will be held in Manila, organized by the Embassy of Bangladesh in the Philippines. Velarde will also talk about Cybersecurity during the forum.

Source : http://www.interaksyon.com/infotech/ph-company-to-help-bangladesh-govt-on-cybersecurity

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by BusinessMirror

In Photo: Asian Institute of Journalism and Communication Chairman and Now Corp. CEO Mel V. Velarde (right) presents the first official life-size replica of the famed 1734 Fr. Pedro Murillo-Velarde Map, known as the Carta Hydrograpica y Chorograpica de las Filipinas, to Northern Luzon Command Lt. Gen. Romeo Tanalgo.

Camp Aquino, Tarlac City—Asian Institute of Journalism and Communication Chairman and NOW Corp. CEO Mel V. Velarde has turned over the first official life-size replica of the famed 1734 Fr. Pedro Murillo-Velarde Map to Northern Luzon Command’s (Nolcom) Lt. Gen. Romeo Tanalgo.

The map’s official name is “Carta Hydrograpica y Chorograpica de las Filipinas.” One of its unique features, aside from its accuracy in the topography of the Philippine islands, is it shows the disputed Scarborough Shoal, also known as Bajo de Masinloc,  as a part of the Philippine territory.

“Little did we know that almost 300 years later, those rocks that were drawn on this to specifically guide Spanish ships from sinking, will now be significant and crucial to the destiny of this nation,” Velarde emphasizes on the map’s role it played as an evidence to the Philippines’s claim on the islands at the United Nations Convention on the Law of the Sea (Unclos). “From the utterances of the United States and G7  [Group-of-Seven]  nations, and from the utterances of China, itself, it seems that the result would be, most likely, favorable to us.”

Velarde further explained the importance of giving a replica of the map to Nolcom: “The Northern Luzon Command is the protector, watcher, caretaker and defender of our northern territory, where Bajo de Masinloc is under its jurisdiction. This is our own way of helping you, helping the nation and to recognize the proud members of Nolcom—sometimes we sleep without really knowing who are the people always ready to die for us.”

“Why are we fighting for those rocks? Those rocks represent what this nation is all about,” Velarde passionately expressed his thoughts to the members of Nolcom, “that we, as one nation are indivisible, that our territory is sacred to us, that when our patriarchs were fighting for this country, they were not just fighting for one territory alone. They fought for a nation, which was still a seed in their minds that blossomed into a nation that is today called Filipinas.”

“If  that rock falls in someone else’s hands permanently, then we would be in proximity to something
antithetical to our beliefs as a people,” Velarde explains further, “that our freedom is universal and we cannot accept the loss of freedom—something our forefathers so bloodily fought for, and we are still willing to fight for. Like with Tibet and Mongolia, getting closer to us is a hungry giant, which is why we need to defend our state of being. Unlike this giant neighbor, we Filipinos “believe in freedom and liberty, where the acts of governments must be subject to the consent of the governed—always!”

“Patriotism can take many forms,” Tanalgo said, “In the case of Mr. Velarde, the exhibited act of patriotism is unique and unmatched. Ensuring that the map landed on the hands of the Filipino people, he shelled out his personal wealth and simply bought it. He bought it for our country to rekindle the sense of patriotism among our people—to promote our sovereignty and support national interest in the West Philippine Sea.”

“I pray that this map serves as a point of existential value for all Filipinos, regardless of provincial descent, tribe, belief, religion and social stature. Sir, you spent wealth for this map,” Tanalgo told Velarde. “You pay our soldiers with your taxes, and we will repay you with our blood and commitment.”

Source: http://www.businessmirror.com.ph/1734-phl-map-turned-over-to-nolcom/

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The National Telecommunications Commission prefers to auction off or sell the extra frequencies surrendered by the country’s top two telcos to a big group or joint venture.

NTC deputy commissioner Edgardo Cabarios said that only two companies have the license to operate as telcos (ABS-CBN unit and Now Corp.  ) but they need to form a joint venture so they can compete with the big guys.

Only Now Corp., formerly Next Mobile Inc., and ABS Convergence, a unit of ABS-CBN Corp., have the license to operate a cellular mobile telephone service (CMTS).

After the NTC approved PLDT Inc. and Globe Telecom Inc.’s co-use of the 700 megahertz spectrum, the two telcos surrendered a total of 85 megahertz excess frequency including 800 MHz, 2300 MHz, 2500 MHz, 1800 MHz, 2300 MHz and 2600 MHz.

These will allow a third player to viably operate a mobile and broadband business in the country, Cabarios said.

Cabarios said the next NTC commissioner will decide on the spectrum allocation by July or August this year.

He said to maximize the use of available frequency, it is better for the spectrum to go to only one player or a joint venture company that can compete with the two incumbent telcos rather than give out the spectrum to several players.

“The best for this company is to join together and form a consortium. They may not be as big as these two (PLDT and Globe) but they can be big,” Cabarios said.

The bidding will be open to all telecom firms except PLDT and Globe and their affiliates.

BayanTel also has a CMTS license but is not qualified to join the bidding as it is now fully-owned by Globe.

Aside from the total of 85 MHz, the regulator will also include in the auction the third generation frequency of Connectivity Unlimited Resources Enterprisewhich should have  been bid out since 2012.

To compete with the two incumbent players, the new entrant must be able to build at least 2,000 to 3,000 base stations nationwide. PLDT has over 12,000 base stations while Globe has over 7,000.

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Listed IT company NOW Corp. is in talks with two local investment banks to raise $50 million over the next two years to fund plans to shift its revenue stream to the fast-growing corporate broadband market. In an interview yesterday, NOW president and CEO Mel Velarde said the company would decide in the next few months on its fundraising options, which include a combination of debt and a follow-on offering. He declined to name the banks, but said the initial tranche would involve $30 million this year while subsequent amounts could be raised through 2017. The plan was in line with a five-year strategy that covers this year until 2021, Velarde said. The fresh funds would be used for the company’s broadband and wireless cable TV businesses, he said. NOW expects revenue by the end of the five-year period to hit $346 million, while net income would be at $120 million. NOW has yet to disclose its 2015 results. Broadband services should account for 80 percent of revenue by the end of the five-year period, from under 5 percent today. At present, the company mainly earns from IT resource management, software collaborations and cloud services. Velarde said NOW could stay profitable by focusing on the needs of corporate clients. He added that their requirements were not being met by big players like Philippine Long Distance Telephone Co. and Globe Telecom. Both have also announced aggressive spending plans to win over customers. PLDT is spending P43 billion in 2016 alone while Globe said it would spend $750 million (P34.7 billion). “They [PLDT and Globe] are after mass marketing. Once you are married to that strategy, there is no divorce,” Velarde said. “That is not my game. I’m happy being a small player, but also one of the most profitable.” http://business.inquirer.net/208990/now-raising-fresh-funds-to-finance-broadband-plans

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