GLOBE TELECOM, INC. expects to accelerate the growth of its data center business after its partner ST Telemedia Global Data Centres (STT GDC) secured new backing from global investment firms KKR and Singtel.
“What this really just means for us here in the Philippines is a stronger partner that allows us to have enhanced scaling power globally with the backing of KKR and Singtel,” STT GDC Philippines President and Chief Executive Officer Carlomagno E. Malana said during a media briefing on Monday.
“It also creates an opportunity for us to increase our ability to future proof, with the expanded capital investment opportunities,” he added.
The development follows an agreement for investment firm KKR and communications technology group Singtel to acquire an 82% stake in Singapore-based data center operator STT GDC.
STT GDC operates in the Philippines through STT GDC Philippines, a joint venture with Globe and Ayala Corp.
STT GDC Philippines operates seven data centers in the country with a combined information technology (IT) load of about 150 megawatts (MW), based on information from its website. Aside from STT Fairview, the company is also constructing STT Cavite 2, which has an estimated IT load of six MW.
Mr. Malana said the new ownership structure is expected to support the local unit’s long-term expansion, particularly as demand for data storage and cloud services continues to grow.
Separately, Globe last month partnered with Elon Musk’s Starlink to bring direct-to-cell satellite services to the Philippines, making the country the first in Southeast Asia to offer the technology.
Globe said it plans to offer the service commercially by end-March, adding that it is working to lower pricing to make the service more accessible.
Mr. Cruz said Globe does not expect the service to be a major revenue driver.
“It is very obvious to all of you that we won’t make money out of this. It is a very costly service but it’s something that we decided to offer to the Philippines. This service will now allow our subscribers or potential subscribers even in far-flung areas, those communities that are unreachable to be reached by satellite,” he said.
For this year, Globe expects low- to mid-single-digit revenue growth, following a decline in 2025.
The Ayala-led telecommunications company said its 2025 net income fell by 4.12% to P23.3 billion from P24.3 billion in 2024, weighed down by higher depreciation and interest expenses and lower revenues.
Globe said strong demand and continued growth in mobile data services are expected to support revenue growth this year.
At the local bourse on Monday, shares in the company rose by P15, or 0.87%, to close at P1,733 apiece. — Ashley Erika O. Jose