Converge, KT Corporation, Teltech back out from NMP bid

Converge, KT Corporation, and Teltech has released a statement today that they have decided not to bid in the New Major Player (NMP) program.

According to the statement, while the companies find the market and industry outlook to be financially viable, “the conditions imposed for participation render the venture commercially unviable.” It has been widely publicized that the NMP will be required to invest a huge amount of capital in order for it to qualify and maintain its position as the 3rd major player. This requires local players to get into joint partnerships with other companies and foreign investors.

Converge was among the early favorites among the close to a dozen potential contenders. They have been building their fiber network across Luzon and offering very competitive broadband services, even threatening the dominance of large players like Globe and PLDT.

Converge, KT Corporation, and Teltech still looks forward to participating if another opportunity arises.

You may read the copy of the statement below:

https://twitter.com/josebimbosantos/status/1059991713152782336