It is reported that the Philippines does not impose a requirement of functional separation on operators possessing significant market power (SMP) within the telecommunications sector. Nevertheless, an obligation of accounting separation has been in force since 1995 pursuant to Section 19 of the Public Telecommunications Policy Act of the Philippines (Republic Act No. 7925). This provision stipulates that, where a single entity operates across more than one category of telecommunications service, separate books of account must be maintained for each category or specialised classification. In addition, Section 11.c provides that telecommunications entities may offer value-added services, subject to the condition that distinct accounting records are likewise maintained for such value-added service activities.

According to Section 16 of the Public Telecommunications Policy Act of the Philippines, no person shall commence or conduct the business of being a public telecommunications entity without first obtaining a franchise. The National Telecommunications Commission, in granting a Certificate of Public Convenience and Necessity (CPCN), may impose such conditions as to duration and termination of the privilege, concession, or standard or technical aspects of the equipment, rates, or service, not contrary to the terms of the franchise.
As established in Article XII of the Philippine Constitution, franchises may only be granted to citizens of the Philippines or to corporations or associations organised under Philippine laws, and they may only be granted by Congress.
In addition to the requirements mentioned above, according to the National Telecommunications Commission, a radio operator is also subject to file 15 other documents, including an Issuance of Renewal/Modification/Duplicate of Radio Stations in the Fixed and Land Mobile Public Radio Communication Network (CP) an On-line Importation Process (For Customer Premises equipment with WDN/RFID Module) thru the National Single Window (NSW) System.

DICT Circular No. 02 s 2021 provides for the licensing and regulation of satellite systems providers and operators (SSPOs) for internet services. Under Sections 7 and 8, SSPOs desiring to provide satellite services by directly engaging with ISPs, value-added service providers, enfranchised telecommunications entities or public telecommunications entities, and broadcast service providers (authorised entities) shall have an adequate digital presence in the Philippines, such as having a readily accessing website with sufficient content and information; have an adequate local presence by setting up a branch or representative office, having an institutional agent or official distributor, or a combination of such modes; have the capacity, coverage and satellite footprint in the Philippines for the purposes of providing adequate satellite services to covered areas; be accredited by the Department of Information and Communications Technology; and be a national of a country that does not prohibit Philippine satellites to operate within its territories and does not prohibit its citizens or subjects to access Philippine satellite systems.

The Philippines has only partially appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments.

The Philippines has a telecommunications regulatory authority, the National Telecommunications Commission (NTC). It is reported that the Commission’s decision-making processes are not fully independent of the government. While a degree of autonomy is exercised in certain decisions, independence is not consistently observed across all functions. The NTC operates as an attached agency of the Department of Information and Communications Technology (DICT), which forms part of the executive branch.

Section 142 of the Corporations Act establishes that a foreign corporation applying for a license to transact business in the Philippines shall submit to the Commission the address, including the street number, of the principal office of the corporation in the country or State of incorporation; the name and address of its resident agent authorised to accept summons and process in all legal proceedings and all notices affecting the corporation, pending the establishment of a local office; and the place in the Philippines where the corporation intends to operate.

The Philippines is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 and its 2015 expansion (ITA II).

Section 52.4.1 of "The Implementing Rules and Regulations of the New Government Procurement Act" stipulates that the following entities are eligible to participate in the bidding process for the supply of goods: (a) duly licensed Filipino citizens or sole proprietorships; (b) partnerships duly constituted under Philippine law, of which at least 60% of the ownership interest is held by Filipino citizens; (c) corporations duly organised under Philippine law, with at least 60% of the outstanding capital stock owned by Filipino citizens; (d) cooperatives duly organised pursuant to Philippine law; and (e) joint ventures, defined as associations of two or more persons or entities undertaking joint and several liability for a specific contract, provided that Filipino ownership or interest therein is not less than 60%, such ownership being determined on the basis of the respective contributions of the joint venture partners as set out in their agreement, and further provided that each member’s primary business purpose is similar or related to the requirements of the project to be procured. Foreign bidders may likewise be deemed eligible, subject to the guidelines issued by the Government Procurement Policy Board, where participation is authorised under a treaty or international or executive agreement; where the foreign entity’s home jurisdiction affords reciprocal rights or privileges to Filipino individuals or entities; where the goods sought are unavailable from domestic suppliers; or where such participation is necessary to prevent circumstances that undermine competition or restrain trade.

Section 52.4.3 of "The Implementing Rules and Regulations of the New Government Procurement Act" provides that participation in the bidding for consulting services shall be limited to duly licensed Filipino citizens or sole proprietorships; partnerships organised under Philippine law with at least 60% Filipino ownership; corporations likewise organised under Philippine law with at least 60% of their outstanding capital stock owned by Filipino citizens; cooperatives duly organised under Philippine law; and joint ventures comprising two or more persons or entities that agree to assume joint and several liability for a specific contract. Where the procurement of consulting services involves professions regulated by law, those who will actually render the services must be Filipino citizens and duly registered professionals authorised by the relevant regulatory body to practise in such professions and allied fields. In order to demonstrate trust and confidence in, and to foster the development of, Filipino consultancy, foreign consultants may be engaged only where the head of the procuring entity determines that Filipino consultants lack the requisite expertise and capability to deliver the services required for the project.

Section 79 of the "New Government Procurement Act" provides that the procuring entity shall accord priority and preference to Philippine products and services, and such preference shall be guaranteed at all stages of the procurement process, including with respect to raw materials, ingredients, supplies, and fixtures. The procuring entity shall award the contract to a domestic bidder where its bid does not exceed the lowest foreign bid by more than 25%. However, this priority and preference may be waived in specified circumstances, including where domestic production is insufficient or unavailable in the required commercial quantities, where the required quality cannot be satisfied, where applying such preference would be inconsistent with the Philippines’ obligations under international agreements, or where other analogous conditions arise.

The Philippines is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA). However, the country has been an observer of the WTO GPA since 2019.

Section 11.1, Article XVI of the Constitution provides that the ownership and management of mass media shall be restricted to citizens of the Philippines, or to corporations, cooperatives, or associations wholly owned and managed by such citizens. This prohibition on foreign equity is reiterated in Section 1, List A of the Twelfth Regular Foreign Investment Negative List, although an exception is recognised for the recording and internet business sectors, with ‘internet business’ defined as referring to internet access providers that merely function as conduits for the transmission of messages, rather than as creators of content or information. Nonetheless, the restriction has reportedly been applied to an online news platform. In 2018, the Securities and Exchange Commission (SEC) found the digital media company Rappler to have infringed the constitutional and statutory limitations on foreign equity in mass media, although in 2024 the Court of Appeals ordered the reinstatement of the certificates of incorporation of Rappler Inc. and Rappler Holdings Corporation, holding that the organisation was wholly owned and managed by Filipino citizens.

According to List A of the Twelfth Regular Foreign Investment Negative List and Section 5 of the Retail Trade Liberalisation Act, as amended by Republic Act No. 11595, foreign investment in small retail enterprises is restricted to Philippine nationals. Retail trade businesses with capital below USD 500,000 are exclusively reserved for Filipino citizens. In addition, Section 3 of Rule III of the Implementing Rules and Regulations of the Retail Trade Liberalisation Act explicitly stipulates that this limitation extends to foreign retailers operating solely through online platforms.

The Foreign Investment Act requires the publication of the Foreign Investment Negative List (FINL) every two years, which outlines sectors in which foreign investment is restricted. According to List B of the 2022 FINL, up to 40% foreign equity is allowed in micro and small domestic market enterprises with paid-in equity capital of less than the equivalent of USD 200,000 and micro and small domestic market enterprises that involve advanced technology or are endorsed as startup or startup enablers by state agencies; or those whose majority of direct employees are Filipinos provided that their Filipino employees should not be less than 15, and with a paid-in equity capital of less than the equivalent of USD 100,000.