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Friday, February 15, 2008

 

Smart, Piltel defy NTC order, says Globe

 
SMART Communications Inc. and Pilipino Telephone Corp. (Piltel) have defied an order of the National Telecommunications Commission (NTC) directing the companies to stop offering certain promos, rival Globe Telecom Inc. said.

 In a submission to the NTC, Raul Macatangay, head of Globe’s consumer insights and profitability division, said Piltel’s “Gaan Text Plus P10” promo was still offered from February 2 to 5 despite the regulator’s order to discontinue the promo effective February 2, 2008.

 “Smart and Piltel until now are still offering these promos: ‘All Text Plus 20,’’Gaan Text 10,’ ‘Smart Flat’ rate (P10 for every three-minute call and P15 for every five minute-call to Smart and Talk ‘N Text), P10 for eight hours  unlimited text messaging and ‘Smart Unli’ (unlimited text messaging all day),” Macatangay said.

 He said that these promos exclusively between Smart and Piltel continue even after their permits expired and the regulator ruled they discriminated against other operators.

 Globe wants NTC to issue an order directing Smart and Piltel to permanently cease and desist immediately from continuing their promos.

 On January 22, the NTC found sufficient, legal, and factual basis to partially recall and, or, revoke the portion of the promo approvals which allowed the sending of text messages from Smart to Piltel subscribers and vice versa.

 According to the 2005 policy pronouncement of the commission, the practice of rate discrimination through off-net implementation of promotional offerings is strictly prohibited.

Off-net means that a promo of one carrier is being offered to subscribers of another carrier.

 The NTC said the pricing scheme of the said promos is lower than what they charge to other carriers.

“The beneficiaries of the lower access charge promos are limited to Smart and Piltel subscribers. The pricing structure of the promos in question is definitely lower than the current access charge regime for text messaging,” the NTC order said.

The NTC said that Smart’s promo should be implemented only among Smart subscribers until January 26, 2008. Likewise, Piltel’s promo should be offered only to Piltel subscribers until February 1, 2008.
-- Darwin G. Amojelar

  
 

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