As the digital economy rapidly transforms industries across Southeast Asia, the Philippines is strategically positioning itself to become a pivotal hub for innovation, data, and connectivity. With soaring digital consumption and an advantageous location, the country stands at the forefront of this technological wave.
In an exclusive interview with Telecom Review Asia, Raymond Policarpio, Vice President and Head of Strategy Management and Business Investments at Globe Business, the corporate arm of Globe Telecom, shed light on the Philippines’ journey to becoming a cornerstone in the global digital economy.
The Philippines is primed to emerge as a major regional digital hub, bolstered by soaring data consumption rates. Among international data consumers, Filipinos rank high, particularly on platforms like Meta and YouTube. However, to fully realize this potential, robust infrastructure development is essential.
While neighboring Southeast Asian nations such as Malaysia, Indonesia, Singapore, and Hong Kong are stepping up as regional leaders, the Philippines offers unique advantages, including a strategic location and a sizeable, predominantly working-age demographic. The pivotal challenge lies in enhancing the country’s infrastructure capabilities.
At Globe Business, addressing this infrastructure gap is a top priority. The company is heavily investing in modernizing its digital infrastructure, encompassing expansive domestic fiber networks and international subsea cables. Additionally, investments in cable landing stations (CLS) and data centers are paramount to ensure the infrastructure remains modern, reliable, and prepared for future needs. These developments are critical not just for technological progress, but positioning the nation in the global digital landscape.
In today’s data-driven world, information is the new gold, yet it requires the right storage and access solutions. The adage “build it and they will come” rings true—the current volume of data already flowing through the Philippines promises to multiply as we introduce enhanced data centers. Access to this information hinges on robust cable systems, both domestically and internationally.
Globe Business is actively developing these vital data centers through its subsidiary, STT GDC Philippines, while also forming strategic partnerships for broader infrastructure cooperation. This initiative promises to propel the nation’s digital transformation.
In the past year, the company launched a domestic submarine cable network to handle rising local data traffic. On the international front, the Asia Link Cable (ALC), expected to connect the Philippines with regional powerhouses Singapore and Japan by 2026/2027, exemplifies these efforts. With several additional cable systems in progress, Globe is focused on scaling infrastructure to keep pace with America’s data surge.
At Globe Business, the evaluation of infrastructure investments encompasses not only financial returns but also broader societal impact. Leading the Strategy Management team means emphasizing the importance of value creation. Policarpio highlights that when establishing subsea cables, for example, it can take five to seven years for them to come online, necessitating forward-thinking vision to unlock their true potential, not just for Globe but for the entire country.
The company opts to prioritize sustainability and nation-building, focusing on expanding accessibility for consumers and enterprises alike. This strategic value-driven approach underpins their infrastructure investments.
Data remains the linchpin, propelling the rise of cloud adoption among businesses. The burgeoning data ecosystem not only fuels interest in cloud computing but also in cybersecurity and artificial intelligence.
Large enterprises are increasingly embracing cloud solutions, yet what’s particularly intriguing is the rapid cloud uptake among small and medium-sized enterprises. Many SMEs may not fully grasp the intricacies of cloud technology, but they unknowingly leverage it through AI-driven tools and cloud applications from providers like Google and Microsoft.
Globe Business is responding with comprehensive solutions spanning connectivity, cloud services, and security while offering guidance to SMEs navigating their digital transformation journeys. Helping these businesses thrive is integral to Globe’s mission, as the adoption of cloud and AI technologies becomes an everyday reality.
Within the competitive telecommunications landscape, collaboration stands crucial at Globe Business. Policarpio asserts that authentic infrastructure growth can stem only from cooperative partnerships, aligning shared objectives among global and local players alike.
Globe Business is diligently engaged in enhancing the country’s digital infrastructure through various significant initiatives. A cornerstone project is the Philippine Domestic Submarine Cable Network, built in partnership with local collaborators to create a fiber-rich and reliably modern backbone tailored to the archipelago’s diverse connectivity needs.
The company continues to expand its fiber network across the nation while establishing more cable landing stations to meet rising data demands from global titans such as Microsoft, Google, and Meta. The upcoming ALC will link the Philippines to regional hubs like Singapore and Japan, reflecting shifting internet traffic trends driven by geopolitical dynamics. Furthermore, sustained investments in data centers are vital to nurturing this thriving digital ecosystem.
How is Philippines’ digital infrastructure progressing and what role does Globe Business play?
The Philippines is advancing as a digital hub, with Globe Business investing heavily in infrastructure such as data centers and subsea cables to support its burgeoning data consumption.
What impact do data centers have on the country’s digital growth?
Data centers act as essential receptacles for the ever-increasing data flow, enhancing access and storage capabilities crucial for the Philippines to thrive digitally.
How does Globe Business measure the success of its infrastructure investments?
Globe Business emphasizes sustainability and societal value over mere profitability, measuring success by how its investments contribute to accessibility and nation-building.
