With the ongoing shift to digital lifestyles in the Philippines, DITO Telecommunity (DITO) is strategically positioned to capture opportunities in the country's digital transformation. Eric Alberto, CEO of DITO, outlines the country's evolving digital landscape, the company’s strategies in driving digital transformation, and its future key goals, while emphasizing the importance of developing strong vendor partnerships.
DITO is the fastest-growing telecommunications provider in the Philippines after it was awarded a Certificate of Public Convenience and Necessity by the National Telecommunications Commission in 2019. It aims to improve the Philippines' connectivity with faster and more secure high value 4G and 5G technologies.
As an emerging telecommunications operator in the Philippine market, how does DITO Telecommunity position itself in the rapidly evolving environment? What are the key challenges that you face when planning your strategy?
We are the newest mobile telecom operator in the Philippines. With only two incumbent operators in the country of over 100 million people who are digitally cosmopolitan and savvy, there is a huge opportunity for a third player like us to enter the market, particularly when you look at the evolution of the technology from 3G to 4G and now to 5G. DITO is an exclusively 4G/5G operator, equipped with a brand-new, state-of-the art network. Following the pandemic, a lot of our customers have taken to digital applications and solutions to enable their lifestyles. Therefore, there is much more consumption of mobile data and life-enhancing applications, presenting us with ample opportunities to capture business from our customer constituency.
With the growing digital transformation in the country, what strategies have DITO Telecommunity devised to leverage this trend for a competitive advantage?
DITO has strategically positioned itself at the forefront of the digital transformation wave by implementing several key strategies to gain a competitive edge in the market.
Firstly, DITO's deployment of standalone 4G/5G technology underscores its commitment to providing cutting-edge mobile and fixed solutions. By investing in next-generation infrastructure, DITO ensures high-speed, reliable networks, meeting the evolving demands of consumers and businesses alike. As testament to this, DITO was awarded the Speedtest Award for Top Rated Mobile Network in the Philippines by Ookla at the recent MWC in Barcelona. Prior to this, among the eleven (11) metrics measured by Open Signal, DITO ranked #1 in seven and #2 in three.
Secondly, DITO's decision to forgo legacy network systems and embrace modern, all-digital IT platforms across back-end and front-end operations is instrumental in maintaining agility and scalability. This streamlined approach allows for faster innovation cycles, quicker response times, and a more efficient use of resources, ultimately enhancing DITO's competitiveness in the digital landscape.
Furthermore, DITO leverages Big Data and analytics to guide its network architecture decisions, ensuring optimal performance and personalized service delivery. By harnessing data insights, DITO can proactively anticipate and address customer needs, wherever and whenever they arise. This approach is not only operationally cost-efficient but also customer-centric. It enhances satisfaction and strengthens DITO’s market position by staying ahead of emerging trends and evolving customer preferences.
In addition to these strategies, DITO remains committed to ongoing innovation initiatives, fostering partnerships, and cultivating a culture of teamwork.
DITO Telecommunity must have a set of standards and expectations when choosing a partner. Could you tell us about what drove your decision to partner with ZTE? What are the main benefits or strengths of this partnership?
Simply put, the most important selection criteria for any vendor are performance and price points. As a startup, we face cost challenges and are prudent in our spending, both in terms of CAPEX and OPEX. We are pleased that from the outset, ZTE understood our strategy for cost management and quality, and supported us with an innovative partnership arrangement. We hope that ZTE will continue this kind of support in the future.
What are the key goals and milestones DITO Telecommunity aims to achieve in the next few years?
DITO Telecommunity has outlined several key goals and milestones to drive its growth and establish itself as a leader in the telecommunications industry over the coming years:
Meet 84% Population Coverage by 2024: DITO aims to fulfill the final network audit requirement mandated by the Philippine government, achieving an impressive 84% population coverage by 2024. This milestone signifies DITO's commitment to providing widespread connectivity and meeting the needs of communities across the country.
Achieve 30% Market Share by 2026: With a strategic focus on market penetration and customer acquisition, DITO aims to secure a rightful market share of 30% by 2026. This ambitious target reflects DITO's determination to compete effectively and gain a significant foothold in the telecommunications market.
Lead in 5G Technology by 2028: As part of its long-term vision, DITO is dedicated to leading the way in 5G technology. By leveraging its infrastructure investments and technological expertise, DITO aims to capitalize on the opportunities presented by 5G networks, paving the way for innovation, and driving new revenue streams by 2025.
Graduate from Start-Up to Financial Stability: In the short and medium term, DITO aims to transition from a start-up organization to achieve financial stability. By focusing on revenue growth, cost optimization, and operational efficiency, DITO seeks to establish a solid financial foundation to support its ambitious growth objectives.
Overall, looking ahead to the medium to long term, DITO aspires to achieve leadership in the digital space. This involves not only maintaining technological excellence but also fostering innovation, cultivating strategic partnerships, and delivering exceptional customer experiences. By becoming a trusted leader in the digital ecosystem, DITO aims to shape the future of telecommunications and drive sustainable growth for years to come.