VoIP rivalry heats up after Globe joins rate-cutting war

Innove Communications Inc., the landline telecommunications unit of Ayala Corp., announced Friday that it has reduced its international direct dialing (IDD) rates for its residential and business subscribers.

This move comes on the heels a 75-percent cut in IDD rates made by rival Philippine Long Distance Telephone Co. for its digital subscriber line service.

The rush to slash IDD rates comes after the National Telecommunications Commission allowed new players, including nontelcos, to offer voice over Internet protocol (VoIP), or long-distance calls over the Internet.

The regulator’s ruling is seen to give existing telcos a run for their money since Internet service providers would be allowed to offer VoIP.

"We want to provide the Filipino consumers with more choices on what communications or connectivity services they could avail of at prices that they are comfortable with," Ramon Antonio L. Pineda, Globelines head, said in a statement.

Subscribers who have activated their IDD can avail of the budget IDD rate when calling to Australia, Canada, China, Hong Kong, Malaysia, Singapore, South Korea, Taiwan, Thailand and USA.

Cheaper rates can be had through the use of Globe1, Innove’s new PIN-based prepaid call card that gives consumers the flexibility and convenience to make calls from any Globelines payphone and landline.

While Globe 1 can be used in Globe Handyphone and Touch Mobile, the discounted IDD rate is applicable only when using a Globelines postpaid or prepaid landline and Globelines payphone. Globelines subscribers enjoy an IDD rate of only US$0.10 a minute when calling from any Globelines postpaid, prepaid or payphone using Globe1.

In a related development, Globe announced that Filipinos traveling abroad can now enjoy 3G (third-generation) technology in Asia-Pacific countries with 3G networks. Globe is the first to introduce 3G roaming capabilities to its subscribers.

"3G technology provides international roaming subscribers with increased convenience and more options for communicating. Globe subscribers traveling abroad can now enjoy the enhanced communication experience of 3G, with the benefits of faster data access for work or entertainment and soon advanced connectivity with video calling," Nikko Acosta, Globe’s head for International Services Division, said.

3G is the next level of mobile technology which enables rapid internet connection, video conferencing, video sharing, video streaming and mobile entertainment.

Globe is the only Philippine telco to have successfully tested 3G, and is also the first to conduct trial video calls and to open 3G services to international roaming subscribers. Globe international roaming subscribers can now roam in 3G networks with three countries using the following telco networks and select mobile phone models NTT DoCoMo and Vodafone in Japan, Sunday in Hong Kong, and SingTel in Singapore.

Paul Anthony A. Isla, ABS-CBN