"Konektadong Pinoy" Act Sets Dangerous Precedent

The Konektadong Pinoy Act, authored by Senator Imee Marcos, sends the wrong signal—not just to incumbent telcos, but to the global investment community watching the Philippines’ regulatory landscape with cautious optimism.

At a time when data is the new currency and networks are central to both economic stability and national sovereignty, this is tantamount to opening the gates of a fortress for the sake of speed. I Photo: Philippine Information Agency

Rather than promoting inclusion, it introduces regulatory distortion. Rather than leveling the playing field, it favors newcomers while burdening those who built the backbone.

This is not innovation. It is institutional favoritism dressed in digital clothing.

Under the new law, new telco entrants may bypass long-established requirements—from securing a legislative franchise to meeting cybersecurity standards—that have governed the operations of incumbent players like Globe and PLDT.

Incredibly, these new entrants are granted a two-year grace period to comply with cybersecurity requirements—even as digital threats become more sophisticated by the day.

As Globe General Counsel Froilan Castelo warns, this creates a two-tier regulatory system. Incumbents remain under full oversight, while newcomers are allowed to cherry-pick where, when, and how they operate.

“This is not only a fairness issue,” Castelo says. “It’s a national security concern.”

The measure opens the floodgates to foreign entities with minimal vetting, allowing them to install digital infrastructure without the safeguards required of local players.

At a time when data is the new currency and networks are central to both economic stability and national sovereignty, this is tantamount to opening the gates of a fortress for the sake of speed.

The Act may have been born of good intentions, but we’ve seen this movie before.

The POGO experience—rushed, under-vetted, and eventually mired in scandal—remains a cautionary tale of how not to legislate in haste. That episode led to thousands of scams and left countless citizens victimized.

This Act risks victimizing the country itself.

If the Philippines seeks to attract foreign direct investment, the last thing it should do is change the rules midstream. Investors value predictability, consistency, and clarity.

When the ground shifts too easily beneath major capital commitments, confidence erodes.

There is still time to recalibrate. The Executive should carefully review the measure before signing it into law.

If enacted, the Implementing Rules and Regulations (IRR) must restore balance—by reinstating baseline vetting mechanisms and ensuring that cybersecurity standards apply from day one, without delay or exemption.

Connectivity should not come at the cost of fairness. And digital inclusion should never be built on regulatory exclusion. Otherwise, this law—cloaked in promises of progress—may leave us not with a more connected nation, but a more divided and insecure one.