Sunday, August 9, 2015

Business leaders let us help internet speed in the country - do we know somebody from PLDT?

'Quamplurimi et quam aptisimi" (As many as possible of the very best)

AGSB Clark August 7, 2015



Daig pa tayo ng Myanmar, Cambodia, at Vietnam, quo vaids Globe, SMART?


Mukhang kulelat SMART;  Does NTC, or does top management have cap ex on speeding up their internet service?




Buti nadaig natin ang Afghanistan, may giyera duon ah, eh dito,

From Inquirer/tech

One of the call to arms speeches came from an executive of a supplier in telco. He decried the very slow speed, (the slowest and the most expensive) internet connection in the Philippines.  While the telcos are raking in billions in revenues and net income, they have not made investment to speed up internet in the Philippines and lower costs.  All are disciples of profit, without regards to service. And maybe, NTC is turning blind eye to this predicament.

"In the latest household download index by Internet broadband testing company Ookla, the Philippines ranked 176th out of 202 countries with an average download speed of 3.64 megabit per second (mbps), way below the average broadband speed of 23.3 mbps. This was the second slowest in Asia, next to cellar-dweller Afghanistan with 2.52 mbps."  -   from Inquirer



Despite being one of the slowest, Internet in the Philippines also emerged as one of the most expensive (61st), with an average value of $18.19 per mbps, exceeding the average global cost of $5.21. The country also ranked 59th in the relative cost of broadband subscription, which was set at $31.55.

Thus the speaker, who prefers anonymity says we should encourage competition.  Google is going to make investment in satellites that can provide such cheap and fast services.  Or maybe we can put up new service providers (but the telcos all ready bought the frequency allocations)   Hi di ba monopoly yan discouraging free market and competition.

But definitely you and I agree and we call on Globe and SMART  The Ayala guys and MVP to address this problem.   With billions at your disposal use this to improve ;your core business, rather than paying attention to basketball etc.. new acquisitions... It is a duty and business responsibility.

Leaders ano gagawin natin, magcampaign tayo....?  Ano bright ideas?  Or we just watch things happen?

I understand MVP is a kabalen, eh baka mabulungan natin na ayusin ang problemang ito..

Huwag tayong malungkot though, USA has second slowest LTE ahead of Phil





Finally may hearing yata this week as per Sen Bam Aquino

Sen Chiz also wants to probe slow internet in the Phil (this slows down BPO growth)

      Naibulong na  kahapon August 9, 2015 kay Sen Bam Aquino ang CTA ni Leader Cezar Cortez

Mag karesulta sana


Why is internet slow in the Philippines?

According to MVP at the ASEAN meeting in Clark, it is because Phil is an archipelago and this requires many cell sites and is threfore expensive.  (Technical experts tama ba ito?)

1.  Lengthy and prohibitive cost of putting up cell site  (from Rappler)

2.  Monopolistic activity of telco;   PLDT as the big company controls the internet traffic.  (From Philippines/reddit

PLDT does not route its traffic via IX (PACNET). It thinks it is the backbone, nor does it want to share traffic with other carriers.   (So do you believe MVP or # 1 and 2 as reasoned by telcos:

Here is a portion of the article:


First Problem: PLDT Doesn’t Want To Share Its Traffic Through Peers Via Unified IX
  • Here in PH, we have one called Philippine Open Internet Exchange (PHOpenIX) used by all ISPs here like Infocom, Evoserve, Pacific Internet including Globe (Sky & Bayan) with the exception of PLDT (Smart) -- and this is where all the problem roots out.
  • Since PLDT has enough muscle in this country to dictate what it wants and disobey common standards of data routing, it chooses a different approach that will only benefit itself and not other peers like Globe.
  • Instead of routing data to our country's own IX, PLDT connects to Hong Kong Internet eXchange (HKIX) through its private VIX (Vitro Internet Exchange). This is a very shady practice because the data, that should originate and terminate here in Philippines, is instead, routed outside in Hong Kong just to return back to Philippines.
  • So instead of keeping the traffic inside Philippines, so it can be routed faster directly, PLDT deliberately chooses to route it outside our country hampering its peers like Globe to do do traffic exchange with PLDT DSL customers.
  • This is one of the main reasons why Globe / Sky / Bayan users connecting to GARENA has "high ping" when joining rooms. This is also the reason why overall traffic exchange, local in particular, is very slow in this country regardless how much Globe improves its network facilities.
  • Unfortunately, the NTC (Philippines's version of FCC) has no power to rectify the situation which is very obvious because PLDT is the country's largest telco; a company that holds more than 40% of Meralco via MPI and Beacon Electric Asset; a conglomerate that almost single-handedly owns most major newspapers in PH like Inquirer, Philstar, Interaksyon, MediaQuest, etc. Heck, it's too big, it even holds the highest chunk of power in the Philippine Stock Exchange itself. Bring this elephant down and the whole economy of PH will be fucked up.
Second Problem: PLDT Thinks It’s The Backbone
  • Since PLDT believes it’s the only reason why this country is able to communicate, it has enough muscle to be the country’s own ‘fake’ backbone; using its antiquated data-routing technique instead of letting real backbone providers like PACNET do all the work, a business that thrives on providing data and connectivity solutions to major Telcos in South East Asia.
  • Most ISPs pay for a backbone service simply because it solves all the complexities of data traffic management from one country to the next; it's faster and provides better overall bandwith for customers. As an example, PACNET spends almost a billion dollar constructing a fiber-optic submarine network that expands more than40,000 kilometers reaching key locations in South East Asia including China with speeds ranging from 17 Terabits up to 31 Terabits (link) -- something any telcos like PLDT won't be able to afford. This kind of technology is the reason why ISPs in South East Asia are thriving with average speed of at least 10mpbs+ (S.K at 13.3mbps, Singapore at 17mbps, Hong Kong at 65 mbps). Unfortunately, PLDT doesn't want to directly pay for PACNET'sblazing speed network, it instead relies to its obsolete DFON network. The result? Average internet speed for this country lies at 3mbps even worse than India or Indonesia. Take note that PLDT's network is also more expensive since it's required to build its own fiber-optic network since it's now acting as the company's backbone rather than simply 'renting' from real internet backbone providers. On this report, it shows PLDT spent 2.5 billion PHP for upgrading its Domestic Fiber Network (DFON) for that year alone. Imagine all the money saved if the company only chooses to 'rent' a real backbone service provider.
  • I am not sure what’s the current deal between PLDT and PACNET, but from the looks of it, ISPs here in PH are actually paying PLDT because it acts as the country’s backbone. This also explains the reason why pinoys are paying more for slow internet connection (because PLDT is spending billions of pesos for its DFON) while U.S and other countries in Europe pay less with better internet speeds because ISPs there simply rent for a backbone network, NOT build one.
Any Fix?
Enough of the rambling, let’s see if this problem is fixable. Fortunately, the answer is ‘Yes’. On this report:http://www.philstar.com/business/2014/07/16/1346628/globe-urges-pldt-allow-exchange-traffic-among-isps Globe is aware of the issue and has asked PLDT to share its traffic by opening its network to our country’s IX. Unfortunately, PLDT doesn’t give a shit and is more concerned on giving low-IQ statements.
Here’s what PLDT’s spokesperson has to say about the issue:
South Korean Internet users largely access content written in the South Korean language as well as for internet users in other major Asian markets like China, Japan, Thailand and Vietnam.
That is principally why Internet traffic in these countries are largely domestic. In the case of the Philippines, we are fluent in English and are thus oriented towards overseas Internet content,” he said.
As a result, he explained that up to 90 percent of Internet traffic in the Philippines is content sourced from overseas particularly the US. “Because of that, in the case of the Philippines, domestic peering will not address complaints of slow Internet speed,” he clarified.
  • Based from his logic: South Korea, China, Japan, Thailand and Vietnam == [Not good] in english, access non-english content most of the time; therefore, there’s a need for their ISPs to do peer exchange via unified IX.
  • Philippines == Good in English, access 90% english content; therefore, no need for peer exchange because pinoy customers get content outside this country, anyway.
  • Based from his reasoning, if a country doesn’t access english content, there’s a reason for peer-sharing. Unfortunately, he didn’t mention one important part, that is, most of if not all countries share traffic through their local ISPs regardless of what language or content their customers are accessing. This dude is adding a thick pile of horse shit, thinking it will work to all Filipinos who don’t understand basic networking.
  • Since when does accessing “english content” be the main reason why ISPs don’t need to exchange traffic with their peers? This mouth breather is deviating from the real problem, that is, their company is too selfish and scared that if they do peer-sharing with Globe, the Ayala-led telco will be able to provide better service than them. It’s that simple.
TL:DR: The main problem why local traffic-exchange in Philippines is on a glacial speed when you connect to one of Garena’s rooms is because, PLDT DSL doesn’t let its customers share traffic with its peers like Globe, Sky or Bayan DSL. The company intentionally keeps the exchange through its own network.
The main reason why Filipinos are paying more for slower internet connection compared to other countries is because PLDT acts as the country’s own backbone, able to control all the flow of internet traffic from Philippines to the outside. ISPs are also required to pay PLDT for using its ‘fake’ backbone instead of relying to real backbone service providers like PACNET to properly handle the data exchange for this country.
Unfortunately, there's a slim chance for PLDT to fix this because: 1) If the company connects to Philippine's IX, Globe will have the upper hand on giving better service to its customers 2) If PLDT starts paying for a real backbone service, it will lose a chunk of its profit since it's currently acting as the country's network backbone enjoying unprecedented power on dictating how traffic exchange should be structured in Philippines, setting the price for internet bandwith, plus, the annual cut it receives from ISPs paying for its 'one-of-a-kind' network.


  • 162 comments
  • m Reddit:

    This kind of behavior reminds of our first group work.  How can some big companies lie?




    5 comments:

    1. Leader Ma. Corazon Q.GuevarraAugust 9, 2015 at 4:05 PM

      I agree Prof. Communication industry has always been monopolized in the Philippines. It is a good thing though that there are now a number of major/big players. Unfortunately, though, when competitors multiply, the major players acquire their competitors, thereby we return to the same problem-monopoly! Talaga po atang ganito ang buhay sa Pilipinas Prof. Hope MVP will do something about this problem. Good luck to us.

      ReplyDelete
    2. Leader Cora and I made a presentation on cashless society in our Ecoman class. One of the important infrastructure in order to go cashless is fast internet speed. Internet speed has lots of implications, so there is a need to act on it. Let's make it happen.

      ReplyDelete
    3. Leader Charm ArribeAugust 9, 2015 at 11:21 PM

      i really hope we can do something about this especially if it means forwarding our economy

      ReplyDelete
    4. Leader Ma. Corazon Q. GuevarraAugust 10, 2015 at 12:02 PM

      Yes Steph, you are right, Internet speed problem is an impediment to move ahead and be in the same direction as the other ( progressive) countries.

      ReplyDelete
    5. Leader Belle S. KatigbakAugust 12, 2015 at 1:05 PM

      One of my greatest fears when authorizing disbursements worth more than 1M through E-BIR is to get disconnected while in process. I was a bit frustrated during the training when it took several hours for the trainers to finish a single transaction...all because of poor connection.

      During the E-BIR filing before April 15, 2015, I was so frustrated with poor internet connection that I wrote BIR about several attempts to comply on line but in vain.

      I hope that something could be done about this.

      ReplyDelete