Key facts
- Analysts warn that slow approvals, limited monitoring, and fragmented oversight could undermine the Philippines' digital hub ambitions.
- Republic Act No. 11659 (2022) allowed 100% foreign ownership in telecommunications.
- Republic Act No. 12234 (2025) removed the need for Congressional Franchises or CPCNs for data transmission and subsea cables.
- A new administrative registration regime for Data Transmission Industry Participants (DTIP) has been established.
- A November 2025 workshop aimed to strengthen subsea cable protection and simplify permitting processes.
The Philippines is pursuing a goal to become a regional digital hub, leveraging its strategic location and expanding underwater cable infrastructure. However, industry stakeholders and analysts highlight significant governance challenges that could impede this ambition. These include slow approval processes for cable repairs, insufficient monitoring mechanisms, and a fragmented regulatory environment.
PLDT, the country's largest telecommunications firm, has urged for enhanced cooperation among government agencies and further regulatory reforms to bolster the vital digital connections. Recent legislative changes have aimed to address these issues. Republic Act No. 11659, enacted in March 2022, redefined telecommunications as a 'public service,' removing the previous 40% foreign equity cap and allowing up to 100% foreign ownership. This was further supported by Executive Order No. 32 in 2023, which streamlined permits for critical infrastructure.
More significantly, Republic Act No. 12234, the Konektadong Pinoy Act (KPA), which became law in August 2025, eliminated the need for congressional franchises and Certificates of Public Convenience and Necessity (CPCNs) for entities involved in data transmission and international subsea cables. It introduced an expedited, open-access administrative registration regime for Data Transmission Industry Participants (DTIPs) managed by the National Telecommunications Commission (NTC).
A workshop held in November 2025, co-hosted by the Department of Information and Communications Technology (DICT) and the Cable Connectivity and Resilience Centre (CCRC), focused on proposed reforms to bolster the protection of subsea cables and simplify installation and repair permits. The DICT has been working on a regulatory framework for submarine cable management and has established a dedicated sub-committee on submarine cables within the National Maritime Council. These efforts align with the Philippines' preparation to assume the ASEAN Chair in January 2026 and its commitment to regional digital connectivity.