At least one more major operator will open an expansion site in Baguio City, Alberto said. Texas Instruments, which operates a test and assembly facility in the mountain city, will also undertake a US$300 million expansion, he added.

PLDT has its own BPO/call center business under Ventus, which is part of the group's IT subsidiary ePLDT. Ventus is likewise keen on expanding to Baguio City, Alberto said.

By his own account, Alberto said PLDT is 'making a gamble' by embarking on its DFON project and extending it to cover key cities, including those in the Northern Luzon such as Laoag and Vigan in Ilocos, Tuguegarao in Cagayan and Cabanatuan in Nueva Ecija.

'We are looking at opportunities to partner with the government and the private businessmen in these areas to take advantage of the capacity,' he said.