Czech firm Tesla Technologies and Filipino-owned Smart Citi Teknologi signed an agreement to establish a satellite-based platform and production of innovative products in the country.
The agreement dubbed “Transfer of Ownership and the Industrial Development in the Philippines” was signed by Tesla Technologies CEO Peter Matejcek and Smart Citi Teknologi (SCT) CEO Mario P. Marcos on Thursday, Feb. 23.
Marcos, who claimed to be a second cousin of President Ferdinand R. Marcos Jr., said the agreement spells out a contract that will pave the way for the transfer of Czech technology to the local partner and the assembly of two Tesla products in the country.
Originally called Elektra, TESLA Technologies started operating as an eletrotechnical industry company in 2021 in Czech. TESLA produces from the smallest semiconductors, electric bulbs, radio sets, TV, military transmitters, big radio and TV transmitters, sensors, electronic metering systems up to water cleaning machines and home appliances. It has 50 manufacturing plants with over 200,000 employees and exports to more than 140 countries.
Matejcek said that Tesla has a radio transmitter project in the Philippines years ago.
Marcos explained that the partnership will create an internet-based platform for its smart city program that will provide connectivity for various applications, including households, smart homes, and smart cities.
The partnership also aims to assemble two Tesla products — a unique a diagnostic health device and magnetic engine in an economic zone in the country.
After the signing of the agreement, Marcos said they are expected to iron out the operations of the surviving corporate vehicle over a six-month period.
But Marcos said they cannot implement these programs without fast connectivity. Thus, to support the internet-based platform that will provide connectivity to households, create smart homes, and smart cities, Marcos said they have already an existing satellite but which they need to augment by 2025.
The internet-based platform will be integrated to its new satellite, which is 10 times faster than its existing. The new satellite is a partnership with a Hong Kong firm using an American technology, he said.
He further said that SCT will have a convergence with Starlink, which has already started providing connectivity in the country via its low-orbit satellite. In addition, he has also held discussions with local telco Converge.
The new ventures are expected to generate 4,000 to 5,000 jobs, Marcos said.
Aside from the three projects under the partnership, Marcos said that SCT is also developing an island in Roxas, Palawan for its ambitious resort project.
Marcos said they are still in the process of acquiring the 500-hectare island from a private owner. He estimated that it will cost $1 billion and seven years to develop the island into an upscale resort.
Already, he said, partner developers and international funders have expressed interest to be part in the mixed-use development.