Ict Policy Not Beneficial For Competition
March 26th 2008 - A Monopoly on International Communications will mean poorer service and less competitionWednesday, 26 March, 2008 – Port Moresby: Digicel, the fastest-growing mobile operator in the Pacific, has expressed concern about the impact on mobile consumers and the business community following the approval by the National Executive Commission (NEC) of the revised ICT policy which states that Telikom should have a monopoly to operate a single international gateway.
According to Kevin O’Sullivan, CEO of Digicel Papua New Guinea: “With only one gateway operating, people will experience higher calling rates, lower quality of calls due to network congestion as well as limited international roaming services. “
“a single failure at the Telikom International Gateway would isolate Papua New Guinean businesses from the global economy and the population from their family and friends abroad.” added O’Sullivan.
Digicel should be able to continue to operate its own International Gateway and continue to compete with the service that Telikom operates. Digicel, through the existing open competition in international telecommunication services, currently provides consumers with enhanced quality telecommunication services at affordable prices.
“To remove Digicel’s international gateway would be a step backward from the current open market approach. The people have tasted the benefits of competition and have the right to continue to enjoy those benefits. These benefits speak for themselves, lower prices, better quality, increased coverage and introduction of new services such as the ability to travel to 87 countries and use your Digicel PNG mobile number.”
Digicel points to the recent example in the Middle East when submarine cables in the Mediterranean were severed last month, resulting in a breakdown of internet access for people in Egypt, India, Sri Lanka, Pakistan and other areas of the region.
A similar situation occurred in the Caribbean in May 2007 when an undersea cable was cut in the Caribbean Sea affecting Guyana, Trinidad and the French West Indies. As the incumbent telecommunications company in Guyana, GT&T, has a monopoly through that single cable on international calls, Guyana was completely shut off from the rest of the world with local business experiencing significant financial losses.
The revised ICT policy, as approved by the National Executive Commission (NEC) on February 13, effectively grants Telikom a monopoly on the international gateway. Digicel advocates an ICT policy that is pro-competition and which places the interests of customers first. Competition in the mobile communications market delivers state-of-the-art networks with innovative services at affordable prices to the people. The transformation of Telikom must be driven by competition and customer choice not protectionism and monopolies.
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ABOUT DIGICEL PACIFIC
Since its launch in the Pacific in November 2006, Digicel has become the fastest-growing mobile operator in the Pacific with current operations in Samoa and Papua New Guinea, as well as commitments from the Governments of Fiji, Vanuatu and several other countries in the Pacific. On February 27, 2008 the Government of Fiji granted Digicel a licence and this was followed by the Government of Vanuatu granting Digicel a licence on March 14, 2008. In late November 2007 Digicel Pacific announced the acquisition of TonFon in Tonga. Digicel is renowned for competitive rates, unbeatable coverage, superior customer care, a wide variety of products and services, and state-of-the-art handsets.
Digicel is proud sponsor of several national rugby teams across the South Pacific including; Fiji Rugby, Digicel Fiji Sevens, Digicel Pacific Islanders Rugby Team and the Digicel Pukpuks.
For more information, please visit www.digicelpacific.com
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