'Lower telco fees to boost economy'

The Philippines can expand its economy by as much as 0.8 percent for every 10 percent increase in 5G adoption, but this can be done only if the government cuts business costs, such as spectrum user fees (SUF).

- ELIJAH FELICE ROSALES

Ericsson head of Southeast Asia, Oceania and India Andres Vicente told The STAR the country could gain a 0.8 percent hike in gross domestic product (GDP) if the government reduces the SUF, an analysis echoed by industry players and experts.

Vicente said telcos in the Philippines are struggling to accelerate their 5G rollout, as they get just $2.8 from each of their consumers monthly, measured as average revenue per user.

On the other hand, Filipinos spend around a third of their day browsing through the internet, raising their data consumption to at least 12 GB a month.