Converge ICT Solutions is seeking tax incentives from the Board of Investments (BOI) for its upcoming $100-million data centers.
Converge president and chief executive Dennis Uy said the projects have combined capacities of 1,500 racks that will run on nearly 15 megawatts (MW) of power.
“We are launching the projects in early 2025. These are data centers dedicated to supporting our internal operations and subscribers” he said.
He said the project might expand by adding a third data center that would bring the total rack capacity to 2,000 by next year.
The 300-rack data center in Caloocan will be up and running by the first quarter of 2025, while the 1,200-rack data center in Clark Freeport is set to open by the second quarter of 2025.
The company reported a double-digit growth last year, driven by the successful launch of its prepaid fiber service, which attracted almost 300,000 subscribers.
Converge is optimistic about hitting its P40-billion revenue target this year, given its focus on providing affordable services to MSMEs.
Converge aims to reach close to 3 million subscribers by end-2024 with a current subscriber base nearing 2.5 million.
“We’re done with connectivity. We’ve connected almost 80 percent of the country. Next is the platforms, so we can serve the entire ecosystem,” said Uy.
The platforms will include applications for health insurance payments, banking, inventory, payroll and even smart homes in the future.
Uy sees this as crucial for achieving total digitalization at both individual and enterprise levels.
Converge earmarked a significant portion of its budget, around 50 percent, for continuous investment.
The company’s minimum annual capital expenditure is estimated to be between P10 billion and P15 billion.
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