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    Netopia allots P15 million for
    equipment-upgrade program
     
    By Lenie Lectura
    Reporter
     

    DIGITAL Paradise Inc. (DPI), the owner, operator and franchisor of the Netopia Internet café chain, is spending P15 million to upgrade and replace equipment in some of its shops.

    Netopia has 160 branches nationwide, of which more than 80 outlets are company owned and the remaining operated through franchises.

    “Every four years, we take a look at how we can further improve our shops, particularly our equipment. The P15 million that we are allotting will replace or upgrade some 422 stations or terminals,” said company president and chief executive officer George Tan in an interview last week.

    Despite the popularity of Internet cafés in the country, Netopia continues to be in the red. In the first six months of the year, Tan said the company’s losses stood at about P8 million. In 2007 it posted P29 million in net loss, down from P114 million in 2006. The company’s losses were narrowed down significantly as it closed down some shops last year.

    At end-2007, Netopia branches stood over 170 from slightly over 200 in 2006. Tan said more branches will be closed in the second half of the year.

    It also closed down its last branch in Thailand recently. “It was hard to manage a branch that is far away. There are many barriers, including the language,” he said. “We closed all four branches in Thailand.”

    Netopia also announced that it is partnering with Microsoft Philippines to make information-technology learning more available and affordable by offering e-learning programs at its Internet cafés. The program is divided into 16 short courses, which include Microsoft Windows operating systems such as Windows XP and Windows Vista and 2007 Microsoft Office.

    “The majority of our customers are college students and young professionals and it’s good that we have this program with Microsoft that we could offer to them. Through our partnership with Microsoft, we are making computer literacy more accessible through our extensive network of Internet cafés all over the Philippines,” added Tan. 

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