The Manila Times

Business

  Home  

  About Us  

  Contact Us 

  Subscribe     Advertise  
  Archives     Feedback  

  Register  

  Help  

  Top Stories

  Metro

  Business

  Regions

  Opinion

  World

  Life & Times

  Sports

 

Tuesday, March 18, 2008

 

Globe warns on reduced VoIP access rate

 
GLOBE Telecom Inc. said the proposed cut in the access charges for voice over Internet protocol (VoIP) services may have adverse economic effects.

A cheap alternative to traditional telephony, VoIP involves transmitting voice calls through the Internet making it less expensive.

Froilan M. Castelo, Globe’s head for regulatory affairs, said the proposed access charge of P1.50, or $0.37 is significantly lower than global termination rates for fixed and mobile telephony, which average $0.13765.

Given this, the dollar inflow telecom companies derive from international settlements will “nose dive,” he said.

 “Such could prove to be a devastating financial blow especially to the small rural telephone operators and consequently decelerate the growth of countryside telecommunications,” he added.

The Globe official warned that overseas communication taxes would inevitably decrease, thus diminish tax collection.

“Considering then the adverse impact to the economy due to the expected decrease in the dollar revenues of telcos and the govern­ment’s collection of [overseas com­munication taxes], we strongly sug­gest that this proposed measure be submitted to the National Economic and Development Authority for further analysis, “ Castelo said.

The National Telecommuni­cations Commission (NTC) plans to relax the access charges on VoIP services imposed by fixed line and cellular phone operators to promote fair competition in the industry.

Castelo however pointed to entities other than VoIP service providers that seek access from network or facility providers, including Internet service providers and business process outsourcing centers.

The Globe executive said the lower tariffs prescribed by the current draft memorandum circular do not fairly compensate network or facility providers, which invest heavily in these facilities.

Lastly, Castelo warned that the draft memorandum circular may be unconstitutional, as the same cannot amend nor repeal a legislative fiat such as Section 13 of the Republic Act 7925, which mandates a regime of bilateral negotiations in the determination of access charges between intercon­necting parties.
-- Darwin G. Amojelar

  
 

Manila Times Friends

Phgifts

philflora.gif

Sponsored Links
 

Back To Top

Severino O. Frayna Jr., Benjie Dela Rosa
Powered by: 
The Manila Times Web Admin

 

Home | About Us | Contact | Subscribe | Advertise | Feedback | Archives | Help

  Copyright (c) 2001 The Manila Times | Terms of Service
The Manila Times Publishing Corp. All rights reserved.

Hosted by: