Memorandum Order No 3-11-2005

GENERAL ENGINEERING AND APPLIED SCIENCES
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MEMORANDUM ORDER
No. 3-11-2005
SUBJECT: GUIDELINES FOR THE REGISTRATION OF
VoIP SERVICE PROVIDERS AND RESELLERS
Pursuant to MC 05-08-2005 (Voice over Internet Protocol), the National

Telecommunications Commission (NTC) hereby issues the following
guidelines for the registration of VoIP service providers.
1. A VOIP Service Provider shall refer to a person or entity providing VoIP

services to the public, directly or through resellers for compensation. Any
person or entity that intends to derive or source VOIP from a duly
registered VOIP provider under an agreement to resell the service
directly to retail end-user customers, shall register with the Commission
as a Reseller.
2. Entities intending to register as a VoIP service provider are required to

submit/pay the following documents/fees, in addition to those required to
be submitted/paid for VAS registration:
a. Certified true copy of the Securities and Exchange Commission

(SEC) Registration or Department of Trade and Industry (DTI)
Registration showing, among others, that the entity is at least sixty
percent (60%) owned by Filipino citizens, and that the paid up capital
is at least ten million pesos (P10,000,000.00);
b. Valid facilities/network lease agreement with duly authorized

facilities/network providers;
c. Valid interconnection agreements with duly authorized access

facilities/network providers, such as the local exchange network,
cellular mobile network, trunk radio network, broadband access
network, etc., where applicable under Section 4 of MC 05-08-2005;
and
d. List of cities and municipalities where the VoIP service will be offered;
e. Filing Fee: PhP 180.00;
f. Registration Fee: PhP50,000.00/year.
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 GENERAL ENGINEERING & APPLIED SCIENCES
3. Persons or entities intending to register as a VoIP service reseller are

required to submit/pay the following documents/fees, in addition to those
required to be submitted/paid for VAS registration:
a. Certified true copy of the Securities and Exchange Commission

(SEC) Registration or Department of Trade and Industry (DTI)
Registration showing, among others, that the entity at least sixty
percent (60%) owned by Filipino citizens;
b. Certified true copy of a reseller agreement with a duly registered

VoIP service provider;
c. Filing Fee : PhP 180.00;
d. Registration Fee: PhP5,000.00/year.
4. Certificates of Registration (COR) issued to VOIP Providers and

Resellers shall be valid for a period of one (1) year, and are renewable
thereafter.
5. Each VoIP service provider shall post a performance bond in the amount
of five million pesos (PhP 5,000,000.00) to guarantee the delivery of
VoIP service to the public. VOIP Resellers shall likewise post a
performance bond in the amount of one million pesos (PhP
1,000,000.00). The performance bond shall be from a registered
insurance or surety company preferably from the Government Service
Insurance System.
The performance bond shall be for the duration of the validity of the
certificate of registration as a VoIP service provider or reseller. These
entities shall at all time be covered by a performance bond. The
performance bond shall be forfeited in favor of the government in the
event that these entities fail to deliver VoIP service pursuant to NTC
rules and regulations.
6. Each registered VoIP service provider shall be assigned a VoIP service

prefix “09xx”. Only a user/customer/subscriber with an assigned VoIP
subscriber number shall be allowed to originate and/or receive VoIP
calls/traffic.
7. Only Duly registered VoIP service provider shall be allowed to offer VoIP
service using “Toll Free” service. Each registered VoIP service provider
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offering this type of service shall be assigned a “Toll Free” access
telephone number “1801-xxx-yyyy”. Code “yyyy” shall be assigned to
duly registered VoIP service providers. Code “xxx” shall be assigned to
duly authorized local access network providers as follows:
Code Local Access Network Provider
100 – 199 PAPTELCO Members

200 Bayan Telecommunications, Inc.
201 Bell Telecommunications Phils, Inc.
203 Digital Telecommunications Phils, Inc.
204 Innove Communications, Inc.
205 Philcom Corporation
206 Phil. Long Distance Telephone Corp.
207 Pilipino Telephone Corporation
208 Telecom Technologies Philippines, Inc.
209 Telecommunications Office (CICT)
302 Express Telecommunications, Inc.
303 Globe Telecom, Inc.
306 Smart Communications, Inc.
400 – 404 3G Network Operators
8. All VoIP calls/traffic, outgoing and incoming, shall pass through duly
registered/authorized VoIP service providers.
These guidelines shall take effect immediately.
Quezon City, Philippines, 23 November 2005.
RONALD OLIVAR SOLIS

Commissioner
JORGE V. SARMIENTO
Deputy Commissioner
JAIME M. FORTES, JR.

Deputy Commissioner
MEMORANDUM CIRCULAR
No. 07-08-2005
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SUBJECT: RULES AND REGULATIONS ON THE ALLOCATION

AND ASSIGNMENT OF 3G RADIO FREQUENCY BANDS
Pursuant to RA No. 7925 (Public Telecommunications Policy Act), Act No.

3846, as amended (Radio Control Law), and EO No. 546 series of 1979, the
following rules and regulations on the allocation and assignment of Third
Generation Mobile Telecommunications system (3G) radio frequency bands
are hereby promulgated.
SECTION 1. ALLOCATION OF RADIO FREQUENCY BANDS FOR

INTERNATIONAL MOBILE TELECOMMUNICATIONS 2000 (IMT2000) OR
THIRD GENERATION (3G) MOBILE TELECOMMUNICATIONS
1.1 The following frequency bands as identified by the International

Telecommunications Union (ITU) are hereby re-allocated for the use of
international mobile telecommunications (IMT2000) or 3G mobile
telecommunications in the Philippines and shall form part of the National
Radio Frequency Allocation Table (NRFAT), namely:
825 - 845MHz*
870 - 890 MHz*
1880 - 1900MHz
1920 - 1980MHz
2110 - 2170MHz
2010 - 2025MHz
The above-allocated frequency bands shall be made available for

assignment to not more than five (5) qualified public telecommunications
entities (PTE).
These frequencies are currently assigned to existing CMTS

operators
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SECTION 2. TRANSFER OF AFFECTED USERS
2.1 The transfer of the affected duly authorized users of the herein allocated
3G radio frequency bands shall be governed by Section 603 of
Memorandum Circular No. 03-03-96.
SECTION 3. CRITERIA TO BE USED IN THE SELECTION OF

QUALIFIED PUBLIC TELECOMMUNICATIONS ENTITIES
3.1 Only entities with authorizations to install, operate and maintain cellular
rd
mobile telecommunications system (CMTS) or 3 generation mobile
telecommunications system (3G) shall be accepted as applicants for the
assignment of herein allocated 3G radio frequency bands.
3.2 Existing duly authorized cellular mobile telephone service providers

opting to upgrade their networks to 3G shall qualify as applicants for the
assignment of 3G frequencies subject to the provisions of the applicable
Sections hereof, more particularly, Section 3.6 and Sections 4, 5, 6, and
7.
3.3 An entity intending to operate a 3G mobile telecommunications system

shall file its application for authority or certificate of public convenience
and necessity (CPCN) to install, operate and maintain a 3G mobile
telecommunications system to the Commission not later than thirty (30)
calendar days from the effectivity of this Circular. The applicant shall
possess the following minimum qualifications:
a. Holder of a valid Congressional franchise;
b. For new public telecommunications entities, the minimum paid -up

capital stock shall be PhP100 million;
c. For existing PTEs, debt to equity ratio shall be 70:30 with total
investments in the proposed CMTS or 3G networks of at least
PhP400 million already included in the calculation of the debt to
equity ratio; and
d. Must prove that it has the technical capability to install, operate and
maintain the proposed CMTS or 3G networks.
The applications shall undergo quasi-judicial process. The process shall

be completed within sixty (60) calendar days from date of the effectivity
of this Circular.
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3.4 The documentary as well as oral evidence submitted by applicants for

the assignment of the radio frequency bands for Second Generation
Mobile Telecommunications System (2G) (public mobile
telecommunications system or PMTS) networks shall be updated. The
process of updating shall be completed not later than sixty (60) calendar
days from date of effectivity of this Circular.
3.5 Entities with more than 50% of common stocks owned by the same
person or group of persons shall be considered as associated applicants,
at the time of application, and such entities shall be allowed to elect one
of them to proceed in the filing of application before the Commission.
3.6 Applications for the assignment of 3G radio frequency bands shall be

accepted not later than ninety (90) days from the effectivity of this
Circular. The qualified applicants shall be determined using the following
criteria:
a. For existing authorized PTEs, no outstanding unpaid supervision

and regulations fees (SRF), spectrum user fees (SUF), radio station
license fees, permit fees and all other fees imposed by the National
Telecommunications Commission (Commission) pursuant to law,
rules and regulations; and
b. Must submit a written undertaking that it shall interconnect with all

3G networks, cellular mobile telephone networks, local exchange
networks and all other public networks pursuant to existing laws,
rules and regulations on mandatory interconnection.
c. Must submit a written undertaking that it shall allow the sharing of its
network and facilities with other 3G players in areas where demand
does not allow more than one (1) 3G network operator.
d. Must submit written undertaking that it shall negotiate roaming

agreements with other 3G networks and existing duly authorized
CMTS service providers.
e. Must submit a written undertaking that it shall abide by the terms

and conditions set by the Commission in cases where its
negotiations for interconnection, sharing of networks and facilities
and/or roaming fail to reach agreements within ninety (90) days from
date of the start of negotiations for the same.
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f. Must submit proof of track record in the operation of mobile
telecommunications systems particularly 3G networks.
g. Must submit a 5-year roll-out plan to cover at least 80% of the

provincial capital towns/cities and 80% of the chartered cities.
h. Must submit schedule of rates for the different types of 3G services
to be offered. The schedule shall be the maximum rates that can be
imposed within the first sixty (60) months from start of commercial
operations which shall not be later than thirty (30) months from date
of award of the 3G radio frequency bands.
3.7 Entities with applications for the assignment of the 3G radio frequency
bands may form a consortium. A consortium formed must provide the
details of all its members, including the details of their ownership and
control structure.
3.8 Applicants for the assignment of the herein allocated 3G radio frequency
bands shall be ranked based on their track record, roll-out commitments
and rates to charge from consumers/subscribers/users.
SECTION 4. DETERMINATION OF QUALIFIED APPLICANTS
4.1 The Commission shall, not later than one hundred fifty (150) calendar
days from the effectivity of this Circular, evaluate all applications for the
assignment of the 3G radio frequency bands and determine the best
qualified applicants using the criteria described in Sec. 3.6 of this
Circular. Within ten (10) days after the determination of the best qualified
applicants, the Commission shall send notices to all applicants of the
results of the evaluation.
SECTION 5. PERFORMANCE BONDS
5.1 All applicants for the assignment of 3G radio frequency bands shall post
performance bond equivalent to PHP300M. The performance bond shall
be submitted to the Commission not later than ninety (90) days from the
effectivity of this Circular.
SECTION 6. SPECTRUM USER FEES

6.1 The annual spectrum user fees (SUF) for the allocated and assigned 3G
radio frequency bands shall be:
FOR PAIRED 3G RADIO FREQUENCY BANDS
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a. for the first 5MHz, the SUF shall be PhP5,000,000.00 per MHz;
b. for each additional 1MHz or fraction thereof in excess of the first
5MHz but not exceeding 10Mhz, the SUF shall be PhP8,000,000.00
per MHz;
c. for each additional 1MHz or fraction thereof in excess of the first
10MHz but not exceeding 15Mhz, the SUF shall be
PhP10,000,000.00 per MHz;
d. for each additional 1MHz or fraction thereof in excess of the first
15MHz, the SUF shall be PhP15,000,000.00 per MHz.
FOR UNPAIRED 3G RADIO FREQUENCY BANDS
a. for the first 5MHz, the SUF shall be PhP3,000,000.00 per MHz;
b. for each additional 1MHz or fraction thereof in excess of the first
5MHz but not exceeding 10MHz, the SUF shall be PhP6,000,000.00
per MHz;
c. for each additional 1MHz or fraction thereof in excess of the first
10MHz but not exceeding 15MHz, the SUF shall be
PhP8,000,000.00 per MHz;
d. or each additional 1MHz or fraction thereof in excess of the first
15MHz, the SUF shall be PhP12,000,000.00 per MHz.
6.2 The SUF shall be paid not later than 31 January of each year. A penalty
of 25% shall be imposed if the amount is not paid within the prescribed
period. If the SUF due is not paid in full the 25% penalty shall be
imposed on the balance. Additional 1% per month penalty shall be
imposed on the outstanding unpaid SUF.
6.3 An additional SUF of PhP2M shall be imposed on each authorized 3G

network operator for every 100,000 additional subscribers/users in
excess of the first 4 million subscribers/users. The number of
subscribers/users to be used in the computation of the SUF for the
current year shall be based on the number of subscribers/users reported
by each authorized 3G network operator at the end of the immediately
preceding year or one-half (1/2) of the maximum capacity of the access
codes assigned as of the immediately preceding year; whichever is
higher.
6.4 Existing duly authorized cellular mobile telephone service providers

opting to upgrade their networks to 3G using their existing assigned radio
frequencies, and qualified pursuant to Section 3.2 hereof, shall pay
annual SUF of PhP65M for the first 10MHz x 2 radio frequency band plus
PhP8M for each additional 1MHz x 2 or fraction thereof of radio
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
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frequency in excess of the first 10MHz x 2. An additional SUF of PhP2M
shall also be imposed for every 100,000 additional subscribers/users in
excess of the first 4 million subscribers/users. The number of
subscribers/users to be used in the computation of the SUF for the
current year shall be based on the number of subscribers/users reported
at the end of the immediately preceding year or one-half (1/2) of the
maximum capacity of the access codes assigned as of the immediately
preceding year; whichever is higher. The SUF shall be paid not later than
31 January of each year. A penalty of 25% shall be imposed if the
amount is not paid within the prescribed period. If the SUF due is not
paid in full the 25% penalty shall be imposed on the balance. Additional
1% per month penalty shall be imposed on the outstanding unpaid SUF.
SECTION 7. OBLIGATIONS OF THE ASSIGNEES
7.1 The assignees shall comply with the following obligations:
a. within fifteen (15) days from the award of the 3G frequencies, they
shall remit to the Commission the SUF payments covering the year
when the award is made, and thereafter, pay the annual spectrum
user fees prescribed in Sec. 6 hereof;
b. increase the paid capital to PhP400 million not later than thirty (30)
days from date of assignment of 3G radio frequencies (for new
public telecommunications entities);
c. begin the installation and construction of the 3G network and

facilities not later than 12 months from date of award;
d. start commercial operation not later than thirty (30) months from
date of award;
e. cover at least 80% of the provincial capital cities and towns and 80%
of the chartered cities within sixty (60) months from date of award;
f. strictly comply with the schedule of rates submitted;
g. strictly comply with the prescribed service performance standards;
h. interconnect with all 3G networks, cellular mobile telephone

networks, local exchange networks and all other public networks
pursuant to existing laws, rules and regulations on mandatory
interconnection;
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
i. share its 3G network and facilities with other 3G players in areas

where demand does not allow more than one 3G network at
mutually agreed prices or at prices set by the Commission;
All assignees of 3G radio frequencies shall within one hundred

twenty (120) days from date of assignment of the 3G radio
frequencies shall jointly submit to the Commission list of areas
where sharing of networks and facilities shall be implemented
including the pricing for the use of the networks and facilities.
j. negotiate roaming agreements with other 3G networks and existing

duly authorized CMTS service providers;
Where parties fail to enter into a mutual agreement within ninety (90)
days from the start of commercial operations of the 3G operators,
the Commission shall prescribe the terms and conditions for
roaming. The terms and conditions for roaming prescribed by the
Commission shall only be effective for a period not exceeding three
(3) years.
k. submit application for authority to install, operate and maintain local

exchange lines or public calling stations in unserved and
underserved areas pursuant to Sec. 12 of RA7925 not later than
ninety (90) days from the assignment of the herein allocated 3G
radio frequencies; and
l. comply with all relevant laws and regulations.
SECTION 8. SANCTIONS
8.1 3G network operators shall at all times be updated in the payment of the
annual SUF. Failure to settle outstanding SUF after a reasonable period
of time from due date thereof, shall be ground for the recall of the
assigned 3G radio frequency bands.
8.2 The failure of 3G network operators to comply with any of the obligations
specified in Section 7 hereof shall be a cause for the cancellation of their
authority to provide 3G services, and for the recall of the assigned 3G
radio frequency bands.
SECTION 9. FINAL PROVISION
9.1 Any circular, order, memoranda or parts thereof inconsistent herewith

are deemed repealed or amended accordingly.
536
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

 
9.2 This Circular shall take effect fifteen (15) days after publication in a
newspaper of general circulation and three (3) certified true copies are
furnished the UP Law Center.
Quezon City, Philippines 23 August 2005.
RONALD OLIVAR SOLIS

Commissioner
JORGE V. SARMIENTO
Deputy Commissioner

Deputy Commissioner
MEMORANDUM CIRCULAR
NO. 06-08-2005
537
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

SUBJECT: Frequency Band Allocations for Broadband Wireless

Access
WHEREAS, pursuant to RA7925 (Public Telecommunications Policy Act) and

its Implementing Rules and Regulations, the radio spectrum allocation and
assignment shall be subject to review in the interest of public service and in
order to keep pace with the development in the wireless technology with the
end in view of insuring a wider access to the limited radio spectrum and the
use of cost effective technology;
WHEREAS, the Commission is mandated to promote and sustain a healthy

competitive telecommunications environment;
WHEREAS, pursuant to RA 7925, the growth and development of

telecommunications networks and services shall be pursued;
WHEREAS, under the same Act, the Government shall allocate the spectrum
to service providers to meet public demand for telecommunications services;
WHEREAS, in line with the thrust of the government to promote and facilitate
the growth and development of information and communications technology
(ICT) throughout the country; and
Recognizing, that:
- ICT access, connectivity and development of ICT facilities, services and

skills are becoming more important in economies around the world,
improving efficiency and welfare and creating an equitable and efficient
information society;
- wireless access technology is one of the recognized solutions in

providing ICT access in developing and remote (rural), and
marginalized areas, hard and costly-to-reach areas using the
traditional wirelines, and, thus, prevent the widening of the digital divide;
- new advances in wireless technologies offering high-speed portable

and mobile connectivity can help bridge the widening digital divide;
- the World Summit of the Information Society (WSIS) Plan of Action to

which the Philippines is a signatory, has set out objectives to help
increase connectivity for unserved and underserved areas such as
remote and sparsely populated areas.
538
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

 
NOW, THEREFORE, in support of the government’s objectives to push the

country’s socio-economic agenda through information and communication
technologies and achieving the goal of digital inclusion, enabling universal,
sustainable, ubiquitous and affordable access to ICT by all, the National
Telecommunication Commission hereby re-allocates the following bands for
broadband wireless access for fixed, nomadic and mobile networks:
450 - 470 MHz.;

1900 - 1910 MHz;
1980 - 1990 MHz;
2400 - 2483 MHz;
2500 - 2700 MHz;
3400 - 3600 MHz
5150 - 5350 MHz;
5470 - 5850 MHz;
10150 - 10650 MHz;
The transfer of previously authorized persons or entities operating radio

stations within the above listed radio frequency bands shall be governed by
Rule 603 of MC 3-3-96.
REPEALING CLAUSE
Any circular, memorandum, order or parts thereof inconsistent with the

provision of this circular shall be deemed amended or superseded
accordingly.
EFFECTIVITY
This circular shall take effect (15) days after publication in a newspaper of
general circulation and three (3) certified true copies furnished the UP Law
Center.
Quezon City, Philippines, _23 AUGUST_, 2005.
RONALD OLIVAR SOLIS

Commissioner
JORGE V. SARMIENTO
Deputy Commissioner

Deputy Commissioner
539
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
REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF TRANSPORTATION AND COMMUNICATIONS
NATIONAL TELECOMMUNICATIONS COMMISSION
BIR Road, East Triangle, Diliman, Quezon City
MEMORANDUM CIRCULAR
No.: 04-07-2005
SUBJECT: EXTENSION OF THE UHF TV BROADCAST BAND
Whereas, under Rule 600 of the National Telecommunications Commission

(NTC) Memorandum Circular (MC) No. 8-9-95 (Implementing Rules and
Regulations of Republic Act No. 7925), the radio spectrum allocation and
assignment shall be subject to periodic review in the interest of public service;
Whereas, pursuant to Executive Order No. 546, Series of 1979, this

Commission is vested with the power to promulgate rules and regulations, as
public safety and interest may require, for purposes of encouraging a larger
and more effective use of communications, radio and television (TV)
broadcasting facilities, and maintaining healthy competition among radio and
television entities and/or operators;
Whereas, the existing UHF TV broadcast grantees/operators have utilized

and/or deployed their stations and/or networks in varying degrees of
performance and compliance;
Whereas, there is a need to review and rationalize the radio spectrum in

order to keep pace with the rapid and more recent developments in broadcast
technology;
Whereas, after due consideration, the re-classification of the 674 - 698 MHz
band to the UHF TV broadcast service is found to be consistent with the
rationalization plan of this Commission;
Wherefore, pursuant to the powers vested by law, and after due notice and
hearing, the Commission hereby extends the UHF TV broadcast band and for
this purposes hereby designates the 674 - 698 MHz band to and for the
utilization of tile UHF TV broadcast service, subject to Rule 603 of NTC
Memorandum Circular 3-3-96.
540
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

 
Any circular, Order or Memorandum inconsistent herewith is deemed
superseded.
This Circular shall take effect Fifteen (15) days after its publication in a
newspaper of general circulation and three (3) copies furnished the University
of the Philippines (UP) Law Center.
Quezon City, Philippines,
(sgd.)
RONALD OLIVAR SOLIS
Commissioner
(sgd.)
JORGE V. SARMIENTO
Deputy Commissioner
(sgd.)
Deputy Commissioner
541
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
MEMORANDUM CIRCULAR
NO. 03-03-2005
SUBJECT: RULES AND REGULATIONS ON BROADCAST

MESSAGING SERVICE
Pursuant to R.A. 7925, E.O. 546 series of 1979, and in order to address
consumer complaints, welfare and protection, the following rules and
regulations on broadcast messaging service are hereby promulgated:
Section 1 SCOPE
1.1 All Public Telecom Entities and content providers operating within the
Republic of the Philippines shall adhere to the requirement prescribed in
this circular.
1.2 This circular shall cover commercial and promotional advertisements,

surveys sent via Broadcast/Push messaging service.
1.3 This circular shall not cover emergency, distress, (and) public service
information messages, network advisories and consumer welfare and
protection related advisories.
Section 2 DEFINITIONS OF TERMS
2.1 Broadcast Messaging Service – allows one to send the same SMS/MMS
messages to a large number of mobile phones.
2.2 Commission- refers to the National Telecommunications Commission.
2.3 Commercial advertisements – advertisements for the purpose of

soliciting business and to generate revenue.
2.4 Content Provider - an organization that creates and maintains databases

containing information from an information provider.
2.5 Multimedia Messaging Service (MMS) – allows users to send and

receive messages containing images, videos, audio and text.
542
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

 
2.6 Opt-in – the subscriber has requested to be included on the specific list
to receive direct marketing through SMS or MMS.
2.7 Opt-out – unsubscribing from future unsolicited commercial and

promotional advertisements, surveys and other Broadcast/ Push
messages.
2.8 Promotional advertisements – advertisements designed to increase

visibility or sale of a merchandise or product.
2.9 Public Telecom Entities – any person, firm, partnership or corporation,

government or private, engaged in the provision of telecom services to
the public for compensation.
2.10Push Messages - Information transmitted to the mobile phone, either

subscribed or unsolicited messages, without a user request and are
initiated by the server of the content provider.
2.11Short Messaging Service (SMS) – a service for sending messages to

mobile phones that use Global System for Mobile Communications in
text format.
2.12 Spam Messages – unsolicited and unwanted commercial and

promotional advertisements and surveys.
Section 3 GENERAL MEASURES AND GUIDELINES ON PUSH

MESSAGING
3.1 Commercial and promotional advertisements, surveys, and other

Broadcast/Push messages shall be sent only to subscribers who have
prior consent or have specifically opted-in to receive said messages.
PTEs and content providers shall also provide methods for subscribers
who have opted-in to opt-out at some later date.
3.2 Broadcast/Push messaging shall not be sent between 9:00 PM to 7:00

AM except on paid subscription services.
3.3 A subscribers/recipient of Broadcast/Push messages shall not be

charged for the received SMS and/or MMS messages unless the
subscriber/recipient opted-in.
3.4 Subscribers/recipients who do not reply to Broadcast/Push messages

shall be considered to have opted out and such broadcast should be
stopped or subscribers may opt-out without being charged.
543
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

3.5 All broadcast messages shall display the name of the PTE. In the case
of Content Provider initiated messages, the Content Providers shall
indicate their company names.
3.6 PTEs and Content Providers shall include valid addresses or numbers to
which recipients can send requests to cease broadcast messages. They
shall also provide command/message to opt-out.
Section 4 HANDLING OF SPAM RELATED

COMPLAINTS
4.1 Complainants may file or phone in their complaints with concerned PTE
and PTE shall act on all complaints received in whatever form and
manner within thirty (30) days from receipt of such complaints.
4.2 Complainants who are not satisfied with the action of the PTE may bring
the matter to the Commission.
Section 5 ADMINISTRATIVE AND PENAL SANCTIONS
5.1 Non-compliance and/or violation of any of the provision of this Circular

and other laws, rules and regulations of this Commission shall subject
the violator/respondent to the imposition of appropriate administrative
and penal sanctions, in accordance with law.
Section 6 REPEALING CLAUSE
6.1 This supersedes any and all existing Orders, Circulars, Memoranda or
any part thereof inconsistent herewith.
544
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

 
Section 7 EFFECTIVITY
7.1 This circular takes effect fifteen (15) days after publication in a
newspaper of general circulation and three (3) certified copies furnished
the UP Law Center.
Quezon City, Philippines, ____15 March 2005________
RONALD OLIVAR SOLIS

Commissioner
KATHLEEN G. HECETA
Deputy Commissioner
JORGE V. SARMIENTO
Deputy Commissioner
545
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

1. Refers to the guidelines for the registration of VoIP service providers and
resellers.
A. MC No. 3-11-2005
B. MC No. 07-08-2005
C. MC No. 06-08-2005
D. MC No. 03-03-2005
2. Refer to a person or entity providing VoIP services to the public, directly

or through resellers for compensation.
A. Internet Service Provider

B. VOIP Service Provider
C. Local Carrier Provider
D. PTE

pay a registration fee of:
A. P500 000/year
B. P5 000/year
C. P50 000/year
D. P5 000 000/year

pay a filing fee of:
A. P180
B. P550
C. P100
D. P1000
5. Under guidelines for the registration of VoIP service providers and

resellers, Certificates of Registration (COR) issued to VOIP Providers
and Resellers shall be valid for a period of _______, and are renewable
thereafter.
A. 1
B. 5
C. 2
D. 10
546
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
 

resellers, each VoIP service provider shall post a performance bond in
the amount of ______to guarantee the delivery of VoIP service to the
public.
A. P1 million
B. P4 million
C. P3 million
D. P5 million

resellers, each VoIP resellers shall post a performance bond in the
amount of ______to guarantee the delivery of VoIP service to the public.
A. P1 million
B. P4 million
C. P3 million
D. P5 million
8. Each registered VoIP service provider shall be assigned a VoIP service

prefix_____.
A. 09xx
B. 02xx
C. 05xx
D. 01xx

resellers, code “yyyy” shall be assigned to
A. duly registered VoIP service providers

B. duly authorized local access network providers
C. duly registered VoIP resellers
D. duly authorized Internet Service Provider
resellers, code “xxx” shall be assigned to _____.
A. duly registered VoIP service providers

B. duly authorized local access network providers
C. duly registered VoIP resellers
D. duly authorized Internet Service Provider
547
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

resellers, the code for local access 3G network provider is
A. 306
B. 303
C. 400
D. 405
12. Refers to the rules and regulation on the allocation and assignment of
3G radio frequency bands.
A. MC No. 3-11-2005
B. MC No. 07-08-2005
C. MC No. 06-08-2005
D. MC No. 03-03-2005
13. The standard name for 3G mobile telecommunications is
A. WCDMA
B. CDMA 2000
C. DECT
D. IMT 2000
14. All applicants for the assignment of 3G radio frequency bands shall post
performance bond equivalent to
A. PHP100M
B. PHP200M
C. PHP500M
D. PHP300M
15. The spectrum user fee FOR PAIRED 3G RADIO FREQUENCY BANDS
for the first 5MHz is ____.
A. PhP5,000,000.00 per MHz

B. PhP15,000,000.00 per MHz
C. PhP8,000,000.00 per MHz
D. PhP10,000,000.00 per MHz
548
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
 
for each additional 1MHz or fraction thereof in excess of the first 5MHz
but not exceeding 10Mhz is ______.
A. PhP5,000,000.00 per MHz

B. PhP15,000,000.00 per MHz
C. PhP8,000,000.00 per MHz
D. PhP10,000,000.00 per MHz
for each additional 1MHz or fraction thereof in excess of the first 10MHz
but not exceeding 15Mhz is _______.
A. PhP5,000,000.00 per MHz

B. PhP15,000,000.00 per MHz
C. PhP8,000,000.00 per MHz
D. PhP10,000,000.00 per MHz
for each additional 1MHz or fraction thereof in excess of the first
15MHz______.
A. PhP5,000,000.00 per MHz

B. PhP15,000,000.00 per MHz
C. PhP8,000,000.00 per MHz
D. PhP10,000,000.00 per MHz
19. The spectrum user fee FOR UNPAIRED 3G RADIO FREQUENCY

BANDS for the first 5MHz is ____.
A. PhP3,000,000.00 per MHz

B. PhP8,000,000.00 per MHz
C. PhP6,000,000.00 per MHz
D. PhP12,000,000.00 per MHz

BANDS for each additional 1MHz or fraction thereof in excess of the first
5MHz but not exceeding 10Mhz is ______.
A. PhP3,000,000.00 per MHz

B. PhP8,000,000.00 per MHz
C. PhP6,000,000.00 per MHz
D. PhP12,000,000.00 per MHz
549
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


10MHz but not exceeding 15Mhz is _______.
A. PhP3,000,000.00 per MHz

B. PhP8,000,000.00 per MHz
C. PhP6,000,000.00 per MHz
D. PhP12,000,000.00 per MHz

15MHz______.
A. PhP3,000,000.00 per MHz

B. PhP8,000,000.00 per MHz
C. PhP6,000,000.00 per MHz
D. PhP12,000,000.00 per MHz
23. Under the rules and regulation on the allocation and assignment of 3G
radio frequency bands, an additional SUF of _____ shall be imposed on
each authorized 3G network operator for every 100,000 additional
subscribers/users in excess of the first 4 million subscribers/users.
A. 1M
B. 3M
C. 2M
D. 4M
radio frequency bands, existing duly authorized cellular mobile telephone
service providers opting to upgrade their networks to 3G using their
existing assigned radio frequencies, shall pay annual SUF of ______ for
the first 10MHz x 2 radio frequency band plus _____ for each additional
1MHz x 2 or fraction thereof of radio frequency in excess of the first
10MHz x 2.
A. PhP65M ;PhP8M
B. PhP15M ;PhP2M
C. PhP35M ;PhP4M
D. PhP75M ;PhP10M
550
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
 
radio frequency bands, assignees shall begin the installation and
construction of the 3G network and facilities not later than ____ from
date of award;
A. 3 months
B. 9 months
C. 6 months
D. 12 months
radio frequency bands, assignees shall start commercial operation not
later than _____ from date of award;
A. 30 months
B. 90 months
C. 60 months
D. 120 months
radio frequency bands, assignees shall cover at least ____ of the
provincial capital cities and towns and ____ of the chartered cities within
____months from date of award;
A. 100%:90%:30
B. 80%:80%:60
C. 50%:50%:50
D. 40%:40%:60
28. Refers to the frequency band allocations for broadband wireless access.
A. MC No. 3-11-2005
B. MC No. 07-08-2005
C. MC No. 06-08-2005
D. MC No. 03-03-2005
29. Refers to the extension of the UHF TV broadcast band.
A. MC No. 3-11-2005
B. MC No. 07-08-2005
C. MC No. 06-08-2005
D. MC No. 04-07-2005
551
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
30. The range of frequencies reclassified for the extension of UHF TV

broadcast band under MC 04-07-2005 is______.
A. 54 – 88 MHz
B. 174 – 470 MHz
C. 674 - 698 MHz
D. 544 – 594 MHz
31. Refers to the rules and regulation on broadcast messaging service.
A. MC No. 3-11-2005
B. MC No. 03-03-2005
C. MC No. 06-08-2005
D. MC No. 04-07-2005
32. Allows one to send the same SMS/MMS messages to a large number of
mobile phones.
A. Spam
B. Multimedia Messaging Service
C. Broadcast Messaging Service
D. Short Messaging Service
33. Allows users to send and receive messages containing images, videos,
audio and text.
A. Spam
B. Multimedia Messaging Service
C. Broadcast Messaging Service
D. Short Messaging Service
34. The subscriber has requested to be included on the specific list to

receive direct marketing through SMS or MMS.
A. log in
B. subscribe
C. opt-in
D. sign in
552
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
 
35. Unsubscribing from future unsolicited commercial and promotional

advertisements, surveys and other Broadcast/ Push messages.
A. log out
B. unsubscribe
C. opt-out
D. sign out
36. Advertisements designed to increase visibility or sale of a merchandise

or product.
A. promotional advertisements
B. commercial
C. spam
D. push
37. Any person, firm, partnership or corporation, government or private,

engaged in the provision of telecom services to the public for
compensation.
A. Local carrier
B. ISP
C. VoIP provider
D. Public Telecom Entities
38. Information transmitted to the mobile phone, either subscribed or

unsolicited messages, without a user request and are initiated by the
server of the content provider.
B. commercial
C. spam
D. push
39. A service for sending messages to mobile phones that use Global
System for Mobile Communications in text format.
A. Spam
B. Multimedia Messaging Service (MMS)
C. Broadcast Messaging Service (BMS)
D. Short Messaging Service (SMS)
553
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40. Unsolicited and unwanted commercial and promotional advertisements

and surveys.
B. commercial
C. spam
D. push
554
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Memorandum Order No 3-11-2005

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Memorandum Order No 3-11-2005

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GENERAL ENGINEERING AND APPLIED SCIENCES

Pursuant to MC 05-08-2005 (Voice over Internet Protocol), the National

1. A VOIP Service Provider shall refer to a person or entity providing VoIP

2. Entities intending to register as a VoIP service provider are required to

a. Certified true copy of the Securities and Exchange Commission

b. Valid facilities/network lease agreement with duly authorized

c. Valid interconnection agreements with duly authorized access

e. Filing Fee: PhP 180.00;

f. Registration Fee: PhP50,000.00/year.

3. Persons or entities intending to register as a VoIP service reseller are

a. Certified true copy of the Securities and Exchange Commission

b. Certified true copy of a reseller agreement with a duly registered

c. Filing Fee : PhP 180.00;

d. Registration Fee: PhP5,000.00/year.

4. Certificates of Registration (COR) issued to VOIP Providers and

6. Each registered VoIP service provider shall be assigned a VoIP service

Code Local Access Network Provider

100 – 199 PAPTELCO Members

These guidelines shall take effect immediately.

Quezon City, Philippines, 23 November 2005.

RONALD OLIVAR SOLIS

JAIME M. FORTES, JR.

SUBJECT: RULES AND REGULATIONS ON THE ALLOCATION

Pursuant to RA No. 7925 (Public Telecommunications Policy Act), Act No.

SECTION 1. ALLOCATION OF RADIO FREQUENCY BANDS FOR

1.1 The following frequency bands as identified by the International

The above-allocated frequency bands shall be made available for

These frequencies are currently assigned to existing CMTS

SECTION 2. TRANSFER OF AFFECTED USERS

SECTION 3. CRITERIA TO BE USED IN THE SELECTION OF

3.2 Existing duly authorized cellular mobile telephone service providers

3.3 An entity intending to operate a 3G mobile telecommunications system

a. Holder of a valid Congressional franchise;

b. For new public telecommunications entities, the minimum paid -up

The applications shall undergo quasi-judicial process. The process shall

3.4 The documentary as well as oral evidence submitted by applicants for

3.6 Applications for the assignment of 3G radio frequency bands shall be

a. For existing authorized PTEs, no outstanding unpaid supervision

b. Must submit a written undertaking that it shall interconnect with all

d. Must submit written undertaking that it shall negotiate roaming

e. Must submit a written undertaking that it shall abide by the terms

g. Must submit a 5-year roll-out plan to cover at least 80% of the

SECTION 4. DETERMINATION OF QUALIFIED APPLICANTS

SECTION 5. PERFORMANCE BONDS

SECTION 6. SPECTRUM USER FEES

FOR PAIRED 3G RADIO FREQUENCY BANDS

FOR UNPAIRED 3G RADIO FREQUENCY BANDS

6.3 An additional SUF of PhP2M shall be imposed on each authorized 3G

6.4 Existing duly authorized cellular mobile telephone service providers

SECTION 7. OBLIGATIONS OF THE ASSIGNEES

7.1 The assignees shall comply with the following obligations:

c. begin the installation and construction of the 3G network and

f. strictly comply with the schedule of rates submitted;

g. strictly comply with the prescribed service performance standards;

h. interconnect with all 3G networks, cellular mobile telephone

i. share its 3G network and facilities with other 3G players in areas

All assignees of 3G radio frequencies shall within one hundred

j. negotiate roaming agreements with other 3G networks and existing

Quezon City, Philippines, 15 March 2005____