Last Friday, PLDT Inc., said that they served a Notice of Material Breach and Demand for Payment on DITO Telecommunity over contracted services, which the latter apparently refused to pay.

PLDT told the stock exchange that they are demanding a Php429 million payment from DITO.

In a statement, PLDT said that they’ve “fully performed and delivered relating to the building and provisioning of transmission facilities that DITO required and is using for the delivery of telecommunication services to subscribers.”

DITO then responded by saying that they believe the information is “misleading”.


The third telco said that they were compelled to have an agreement with PLDT for the provisioning of the transmission facilities to allow DITO’s network to have an interconnection with Smart users as part of their obligation stated in their interconnection deal.

DITO said that Smart’s “adamant refusal” to increase the capacity of DITO to interconnect with Smart users made them inform Smart that the said facilities “are no longer needed.”

The third telco added that the parties involved have initiated talks with the goal to resolve the issue. However, they said that PLDT, “in material breach of the dispute resolution mechanism under the parties’ agreement, still proceeded in pursuing this unreasonable claim.”

DITO has previously filed a complaint with the Philippine Competition Commission (PCC) against PLDT Inc and Globe Telecom for apparently abusing its dominant position as DITO users are apparently having a hard time calling Smart and Globe phone numbers.

DITO Telecommunity recently passed and exceeded its third technical audit. As of writing DITO now has millions of users, who have tons of prepaid promos to pick from. They’ve also launched a 5G Home WiFi service that’s available on both postpaid and prepaid tiers.

Via: ABS-CBN News

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