A top official of the Philippine Long Distance Telephone Co. (PLDT) on Thursday said that the company’s capital expenditure (capex) is down to about 19 percent of revenue for this year, which is about P29 billion in 2013.
However, that doesn’t mean the company’s expansion, innovation and technology upgrades will be affected.
“The capex of P67 billion, this was 2011 and 2012, which we termed as capex transformation program. This was critical because its an elevated type of capex, because we were hit close to [about]23 percent of revenues for capex for those two years,” said Napoleon Nazareno, president and chief executive officer of PLDT.
“This year the capex had gone down, it is down to about 18 percent to 19 percent of revenue which will be covering around P29 billion. That is our estimate this year, which includes this particular expansion but this doesn’t mean that our expansion and our innovation and our technology upgrade will stop. So that was the program for the last two to three years,” he added.
In line with this, PLDT completed a P1-billion expansion program to fortify its core Internet protocol backbone, and international and domestic networks to enable these systems to handle a much larger volume of data, voice and video traffic for enterprise customers.
“Our enterprise customers can now rely on end-to-end managed services that are even more robust, reliable and resilient than before,” Nazareno said.
Working with global technology leader Cisco, PLDT has upgraded its core network and made it more robust, resilient, highly secured and future-proof.
“This ensures our core system can support new generation enterprise services that are largely driven by a combination of video, social networking and advanced collaborative applications,” said Ernesto Alberto, PLDT executive vice president and head of Enterprise, International and Carrier Business Groups.
PLDT has also upgraded its international network in partnership with international network systems specialist Ciena.
Optic cable transmission
Through an international intelligent optical mesh network, PLDT is able to offer companies a managed ethernet international private leased circuit that enables auto-switching of optic cable transmission in milliseconds in the event of an international cable system breakdown.
“This translates to near-real-time restoration of any potential cable system faults for our customers in the Philippines transacting with their counterparts in the United States or Hong Kong due to the self-healing quality of the international network,” said Jovy Hernandez, first vice president and head of PLDT Alpha Enterprise.
PLDT’s IP backbone is designed using the latest intelligent networking technologies to bring scalable, stable, redundant and resilient network services. It is the same platform that achieved Carrier Ethernet 2.0 global certification from the prestigious Metro Ethernet Forum.
“This system enhancement would not only benefit new customers but also improve the experience of our current customers connected to PLDT’s 54,000-kilometer domestic fiber optic network—the country’s first true 100G transport network that made the Philippines at par with other highly developed economies in Asia,” Alberto said.
Rosalie C. Periabras