The boardroom war on Broadband Over Power Lines?


pldt-meralco-smc PLDT and SMC’s entry to the MERALCO board is a turf war on who should remain the king of telecommunications.

SMC is not there for basically because of the power business. Ramon Ang, President of SMC has said he’s toying the idea of utilizing the vast power lines of MERALCO for the unprecedented Broadband Over Power Lines (BOPL).

BOPL uses powerlines as carrier for the internet broadband connection.

I have discussed BOPL several months ago in my radio show–“Hi-Tech ‘Ta Bai!” and i had emphasized the advantages of BOPL over the traditional broadband via telephone lines and of the cable TV broadband service.

One big factor of the power lines for broadband business is its reach. Evidently, there are more places that have been reached by power lines than the telephone lines. Thus, BOPL will have more reach and consequently, more customers.

PLDT’s mere 3-percent stake in MERALCO mean a lot for the Lopezes who has 34-percent stake in the biggest power distributor of the country considering SMC has already acquired 38-percent. It puts the Lopezes in equal footing with MERALCO considering the other investors’ sympathy with the Lopezes who are controlling the company.

Observers believed PLDT has entered MERALCO to foil the reported takeover attempt of SMC for the control of the power firm. Thereby, PLDT shall maintain its dominance on the broadband business by not allowing a competitor to proceed with BOPL.

You may call it greed on the part of Manuel Pangilinan’s group. But that’s business. Watch your competitor.

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