Philippines' PLDT, Globe Telecom to share content to boost internet speed

MANILA, June 16 (Reuters) - The Philippines’ two largest telecom firms have agreed to share each others’ online content and applications, company officials said on Thursday, paving the way for faster web services in a country that ranks near the bottom in Asia in internet speeds.

The deal between Globe Telecom Inc and Philippine Long Distance Telephone Co (PLDT) comes less than a month after they bought San Miguel Corp’s telecom assets for $1.5 billion in a bid to boost snail-paced internet in the Southeast Asian nation.

The Philippines’ telecoms regulator has however said the country’s two main operators have one year to boost chronically slow internet speeds or it will revoke approval of the acquisition.

The Philippines ranked 21st out of 22 Asian countries in terms of internet speed, just ahead of Afghanistan, according to a 2015 study by data analytics firm Ookla.

“With an effective domestic internet peering in place, Globe customers will gain direct access to content and applications hosted by PLDT data centers and vice-versa,” Gil Genio, Globe’s chief technology and information officer, told a briefing.

PLDT-hosted content and applications will be treated as local content, removing the need to be routed overseas, which causes additional transit costs and slower data transmission, PLDT said in a statement.

Reporting by Neil Jerome Morales; Editing by Biju Dwarakanath