Lopez: PH as
first country in SEA for Elon Musk's SpaceX
From
L to R: DTI Secretary Ramon Lopez, DFNN Executive Chairman Ramon
Garcia Jr., SpaceX Senior Manager for Government Affairs Rebecca
Hunter, and SpaceX Market Access Director Ryan Goodnight. |
By
DTI-OSEC-Public
Relations Unit
March 31, 2022
MAKATI CITY – Trade
Secretary Ramon Lopez committed assistance to the planned
establishment of Space Exploration Technologies Corp. (SpaceX) in
the country, which will provide internet services in the Philippines
using its Low Earth Orbit (LEO) satellite network constellation
called Starlink. The constellation consists of over 1,600 satellites
in mid-2021, and will eventually comprise of thousands more of
mass-produced small satellites in LEO, which communicate with
designated ground transceivers.
According to the trade
chief, the launch of SpaceX/Starlink in the country will enable a
much faster broadband speed, better connectivity, more capacity for
telecommunications services and more affordable rates for consumers.
Lopez said “Their system will augment as well as complement existing
broadband capacities. This will further capacitate micro, small, and
medium enterprises (MSMEs), facilitate online learning, e-commerce
and fintech."
Preparations are underway
for their registration, as discussed in the recent meeting among
Secretary Lopez, SpaceX senior executives Rebecca Hunter and Ryan
Goodnight, NTC Deputy Commissioner Edgardo Cabarios and DFNN
Executive Chairman Ramon Garcia Jr.'s. SpaceX is bullish on the
growing consumer base and much-improved investment climate in the
country with the current major economic reforms. They noted that the
signing of the amended Public Service Act (PSA), which allows up to
100% foreign ownership of public services in the country, was a
critical factor in the company’s decision to invest, as all its
technologies are proprietary.
In a US Investment Mission
in November 2021, the Department of Trade and Industry-Board of
Investments (DTI-BOI) and SpaceX intently discussed the project’s
entry timeline and the PRRD Administration’s priority legislative
reforms. This was followed by a series of online meetings with the
company, immediately after the Senate ratification in December last
year, an update session in February 2022, and another in early March
to discuss further its business plans in the Philippines in line
with the amendment to the PSA. At present, their application is
being processed and the locations of their gateways are being
visited.
SpaceX is a relatively
young but fast-growing technology and aerospace company owned by the
highly celebrated entrepreneur Elon Musk. The company is currently
establishing a local Filipino entity that will be their wholly-owned
subsidiary and is targeting to deploy three gateways in the first
phase of their launch. The Philippines is set to be the first in
Southeast Asia to avail of such technology that will bring
high-speed satellite broadband connectivity to customers,
particularly to areas where connectivity has been difficult or
impossible.