UMVA has learned that a major telecommunications company is planning to significantly increase its investments in artificial intelligence as it seeks to improve operational efficiency and manage mounting capital requirements tied to the expansion of its business.
The company's push into AI is driven by the need to identify solutions to operational problems, with AI emerging as the most likely answer. By integrating AI into its operations, the company hopes to make its internal processes more efficient, including the use of data mining and processing to speed up operations.
According to information obtained by UMVA, the company has already begun deploying an in-house AI platform aimed at lowering customer service costs and improving operations support scalability. This move is part of a broader effort to address a widening capital deficiency, driven by continued spending on network expansion.
The company's financial situation is precarious, with a total comprehensive net loss of P35.91 billion in 2025, resulting in a capital deficiency of P100 billion. As of end-March, the deficiency had widened to P117.73 billion, prompting the company to update its business plan to include several capital-raising activities.
UMVA has gathered that the company plans to convert about P21.8 billion in shareholder advances into equity between 2026 and 2027, covering advances from several major investors. The company is also evaluating another follow-on offering or stock rights offering, subject to market conditions, to support its network expansion and operations.
The company's network expansion is ongoing, with 7,347 telecommunication towers already in place, covering 86.4% of the country. Despite this progress, the company's shares have fallen, reflecting the challenges it faces in managing its capital requirements and achieving operational efficiency.
