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Converge to invest over $100M in transpacific cable system

BusinessWorld April 22, 2021 | 12:09 am LISTED fiber internet provider Converge ICT Solutions, Inc. announced on Wednesday that it would invest more than $100 million in a new transpacific cable system aimed at increasing internet speeds and network diversity in the country. “Our investment into one full fiber pair, connecting us to Singapore and the west coast of North America, will allow us to independently activate at will up to 15Tbps (terabits per second) of capacity to either country using the latest technology,” Converge Chief Executive Officer and Co-Founder Dennis Anthony H. Uy said in an e-mailed statement. Converge said it signed a binding term sheet with Keppel Midgard Holdings Pte. Ltd., a wholly owned subsidiary of Singapore’s Keppel Telecommunications & Transportation, to grant the Philippine fiber internet provider an “indefeasible right of use” or IRU for one fiber pair on the main trunk of Bifrost Cable System.

Converge 2020 revenues up 71% to P9B

The company’s net income also grew to P3.39 billion from P1.9 billion in the same period. Converge doubled its 2020 subscriber base, reaching 1,038,000 residential subscribers by year-end. Significantly, 90 per cent of these were first-time broadband users. Correspondingly, the company deployed 1.5 million new fiber-to-the-home (FTTH) ports, almost double the number in 2019. Overall, Converge’s nationwide network reached over 6.1 million homes, on track to reach its target to cover 55% of households nationwide by 2025. “There’s a massive pent-up demand for FTTH. We’ve not even reached 10 percent penetration. The market is blue ocean,” was how CEO and Co-founder Dennis Anthony H. Uy described it during today’s ( March 11) virtual press briefing.

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