MANILA — Telecommunications provider Converge ICT Solutions Inc. is stepping up its efforts to bridge the country’s digital divide by developing a pioneering fiber internet service priced as low as ₱500 per month.
Converge Chief Executive Officer Dennis Anthony Uy announced that the company is formulating a budget-friendly fiber-to-the-home offering tailored to resemble a “sachet-sized” utility service.
The initiative is primarily directed at capturing the massive grassroots market that major industry players have historically bypassed due to financial limitations.
Data from a study by internet analytics firm Opensignal revealed that fixed-line fiber coverage in the Philippines reached 29 percent previously, noting that high subscription costs continue to pose a significant barrier to widespread adoption.
Recognizing this gap, Uy stressed the urgency of bringing down broadband expenses as internet connectivity transitions from a luxury into an essential utility.
“I want to target the poorest of the poor, especially, third class and fourth class municipalities, those who don’t have access,” Uy told reporters.
“We need to bring low cost to be able to target this market. It can’t be beyond ₱500,” he added.
To address potential financial hurdles regarding hardware, Converge is exploring a refundable deposit scheme for the Wi-Fi routers, allowing subscribers to get their money back once the device is returned.
Company executives noted that the budget fiber package is presently undergoing research and development, with pilot testing scheduled within the current quarter. A full commercial launch is projected for the first quarter of 2027, with municipalities in Mindanao slated as primary rollout areas.
While the initiative demands significant upfront capital for equipment and hardware—making cost recovery a gradual process—Converge anticipates that the budget tier will eventually serve as a vital earnings catalyst. By tapping into previously unserved demographics, the company expects to expand its subscriber pool and sharpen its edge in the local broadband sector.
In parallel developments, Uy expressed confidence that Converge will hit its projected full-year revenue growth target of 4 to 6 percent, supported by steady consumer demand despite ongoing inflationary pressures.
The firm previously reported a 3 percent uptick in first-half revenues to ₱22.46 billion from ₱21.78 billion year-on-year, though net income dipped by 8 percent to ₱5.49 billion due to elevated operating costs.