CONVERGE ICT Solutions is developing a household internet service priced at around P500 monthly that customers can buy off the shelf and use at home without the usual installation process, CEO Dennis Uy said.
The product, still in research and development, aims to reach households that cannot afford existing broadband services, Uy told reporters.
“Consumers are really interested in the products, but those who want to avail cannot afford them sometimes,” he said.
The Philippines has 29.67 million households, according to the Philippine Statistics Authority’s 2024 Census of Population. However, World Bank data show that only 28 percent have access to fixed broadband.
Uy said affordability remains a barrier despite the availability of fiber infrastructure. Converge studied services in other countries to explore ways to provide cheaper household internet that is easier and quicker to set up.
“That should be the way to target the mass market,” he said.
Uy said the service would use Fiber to the Edge (FTTE) technology, which brings fiber connections closer to users.
Uy acknowledged that another telecommunications company already uses the technology for mobile internet, while Converge plans to apply it to household connectivity.
“This can be bought off the shelf, and then you just bring it home, and you have internet,” he said.
Uy said the main expense for Converge would be the equipment installed at customers’ premises. The company is considering a refundable deposit that customers could recover by returning the device when they stop using the service.
He expects the product to drive growth by serving a large segment of the market.
Uy said the growing range of fiber internet products has made market segments clearer, prompting Converge to tailor its services as average revenue per user declines globally. He cited Thailand, Malaysia and Vietnam, where he said average revenue per user is below $15, or less than P1,000.
Converge plans to begin trials in the fourth quarter, targeting Mindanao and third- and fourth-class municipalities.