MANILA – In a sweeping reform of the country’s telecommunications sector, the long-standing congressional franchise requirement for telecommunications companies has been abolished after the “Konektadong Pinoy” bill lapsed into law.
The measure, which took effect after President Ferdinand “Bongbong” Marcos Jr. neither signed nor vetoed it, is expected to accelerate digital connectivity by easing licensing rules, encouraging infrastructure sharing, and opening the doors to more investors in broadband and data facilities.
“This law is now in force,” Presidential Communications Office’s Undersecretary Claire Castto confirmed, stressing its impact on improving competition and expanding services to underserved areas.
For decades, the Philippines had been the only country in Southeast Asia requiring telcos to secure a congressional franchise before operating — a process critics said stifled innovation and slowed expansion. The removal of this barrier is seen as a potential breakthrough for rural communities where internet access remains unreliable.
However, the shift has unsettled industry giants. Several major players have voiced reservations, citing cybersecurity risks and possible market imbalances. PLDT Inc. has even hinted at contesting the law in court.
The reform comes amid the country’s poor global internet standing. The July 2025 Speedtest Global Index ranked the Philippines 70th out of 104 countries in mobile connectivity and 54th out of 153 in fixed broadband — lagging behind Southeast Asian neighbors Brunei, Singapore, and Thailand.
Despite government initiatives such as the Free Wi-Fi for All program and the creation of the Department of Information and Communications Technology (DICT), millions of Filipinos still endure slow, costly service — a gap blamed for hampering education, e-governance, and economic growth.
President Marcos has repeatedly underscored digital connectivity as a cornerstone of his administration, pledging to “connect every Filipino” in his State of the Nation Addresses. The DICT is mandated to release the implementing rules and regulations of the new law within 90 days./PN
