Strama Paper

Topics: Mobile phone, Philippines, Mobile network operator Pages: 28 (9271 words) Published: February 5, 2013
I. Introduction

Corporate History
Globe Telecom has firmly imbibed itself into the hearts and minds of more than twenty six million subscribers. It has been there in every way for its customers, in building relationships, at work, communicating and reaching out. Inasmuch as Filipinos love to communicate, Globe has been a reliable partner, ready to provide the most convenient and affordable service as possible. For 83 years, Globe has lived up to its reputation of innovation leader – from the moment it introduced the first SMS or text messaging service in the country, and today’s introduction of the first personalized postpaid plans. Globe has been a pioneer in many ways; each new beginning is a testament of its commitment to serving its customers better. In 1928, Congress passed Act No. 3495 granting the Robert Dollar Company, a corporation organized and existing under the laws of the State of California, a franchise to operate wireless long distance message services in the Philippines. Subsequently, Congress passed Act No. 4150 in 1934 to transfer the franchise and privileges of the Robert Dollar Company to Globe Wireless Limited which was incorporated in the Philippines on 15 January 1935. Globe Wireless Limited was later renamed as Globe-Mackay Cable and Radio Corporation (“Globe-Mackay”). Through Republic Act (“RA”) 4630 enacted in 1965 by Congress, its franchise was further expanded to allow it to operate international communications systems. Globe-Mackay was granted a new franchise in 1980 by Batasan Pambansa under Batas Pambansa 95. In 1974, Globe-Mackay sold 60% of its stock to Ayala Corporation, local investors and its employees. It offered its shares to the public on 11 August 1975. In 1992, Globe-Mackay merged with Clavecilla Radio Corporation, a domestic telecommunications pioneer, to form GMCR, Inc. (“GMCR”). The merger gave GMCR the capability to provide all forms of telecommunications to address the international and domestic requirements of its customers. GMCR was subsequently renamed Globe Telecom, Inc. (“Globe”).

Fast Forward

It was a monumental partnership in 1993, with then President Fidel V. Ramos as witness to the signing of a Memorandum of Understanding between Ayala Corporation and Singapore Telecom, Inc. (STI), wholly-owned subsidiary of Singapore Telecommunications Limited (SingTel), was formalized, that created a formidable Globe Telecom. During the year, Globe Telecom was catapulted to the status of a giant in the telecommunications industry, and awarded an initial US $30 million supply contract. Since then, Globe Telecom has revolutionized the way Filipinos connect and communicate with the launch of the Globe Handy phone, the country’s first fully digital CMTS (Cellular Mobile Telephone System) using the GSM (Global Systems for Mobile) communications network. It obtained its provisional authority (PA) for International Gateway Facility (IGF) operations and rolled out its fixed telephone service and international direct dial (IDD) services in designated areas. Within a couple of years, Globe launched its G-Net service in 1995 to become the first Philippine telecoms carrier to offer internet access. Thereafter, Globe went into acquisition (Islacom) and interconnection agreements with other telecom carriers to boost its network and services.

In 2000, Globe joined C2C Cable Network, a fiber-optic submarine cable project in the Asia Pacific region. The following year, Globe inaugurated its first cable landing station and backhaul facility in Nasugbu, Batangas. By 2004, Globe launched the GCASH, a breakthrough in mobile commerce and e payments. In 2009, Globe inaugurated its second landing station in Ballesteros, Cagayan. It also reinforced its best network connectivity with the TGN-Intra Asia Cable System and the first in the country to launch worldwide interoperability for Microwave Access (WiMAX). A breakthrough in mobile and landline service for postpaid subscribers in Metro Manila...
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