“With respect to what we’re evaluating right now, the situation and the demand, the product set and everything and see what is appropriate for the market at this time,” Globe Telecom president and CEO Ernest Cu said during the company’s financial briefing on Monday.
“Much like GCash, it could be a situation where we would wait, keep the brand alive, keep it going until the right time to relaunch,” he added, referring to the mobile payments giant that Globe nurtured for two decades before it became the country’s fourth largest financial institution in 2024.
No impact to financials
Cu explained that Gogoro is a “very small part of our operation”.
The Globe Group, via 917Ventures, is the biggest shareholder of Gogoro Philippines with a 49-percent stake. The other partners are Ayala Corp. and Gogoro Network Pte.
In 2023, Globe invested over P234 million in Gogoro Philippines to help bankroll its expansion.
“We tend to be very cautious on how we approach the beginnings of any operation and ensuring that it doesn't do any significant damage should we need to slow down, scale down or even close down some of our operations,” Cu said.
Challenges, costs
“Up to now, we still believe in the quality of the product, the viability of the product in itself, in terms of an [electric vehicle] product. There are some challenges, as you know, cost. It is a high-cost product, but it is something we’re evaluating,” Cu added.
“Rest assured I will be issuing a definitive statement about this in the next few months. That way, the whole market understands what we’re doing,” he added.
From bullish to cautious
In a statement last February, Gogoro Philippines president and CEO Bernie Llamzon expressed confidence about their business prospects in the country.
“We are very bullish about the potential of our scooters in this market such that we’re looking at expanding geographically in the different parts of the country and looking forward to a Visayas and Mindanao expansion for the balance of the year,” Llamzon had said in a statement.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
