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Group hits telecoms over suit v. unlimited calls, text messaging
Metro businessmen support VAT hike


Wednesday, February 09, 2005
Group hits telecoms over suit v. unlimited calls, text messaging

THE consumer advocacy group Tuesday criticized telecommunication firms Globe Telecom and Smart Communications for its petition for a "cease-and-desist" order against the "unlimited calls and text" offered by Sun Cellular to its subscribers.

"After successfully evading the proposed telecom franchise tax and the tax on their windfall profits and instead batting for a VAT (Value-Added Tax) rate hike, these shameful monopolists now want more. They now want to end a service that proves the point that unlimited text and calls is possible and also a good business proposition," said TxtPower convenor Anthony Ian Cruz.

TxtPower warned that if the petition succeeds, it will adversely affect 1.1 million cellular subscribers and countless others who may be intending to leave Globe and Smart because of the two firms' steep prices.

"A new cellular phone company showed consumers that unlimited calls and free text within a network is possible. This is also the case in many countries like the US where unlimited calls and text are given free on certain days," said Cruz, adding "Why can't Globe and Smart, which use similar cellular technologies, do the same and serve the public good?"

Cruz assailed Globe and Smart "for seeking to end consumer access to choices other than their expensive services. They are clearly monopolists. They seek a fake type of competition favoring their monopoly and a contest of giving the highest, not lowest rates to consumers."

Citing a study by the Computer Professionals' Union (CPU), Cruz said GSM, the technology used by all cellular companies in the country, may provide unlimited calls and text to subscribers within a specific network. "Government should seriously look into this. Technology is advancing fast but the cellular companies want to keep us in the dark."

"Globe and Smart does not want to give this benefit of technology to consumers because their sole motives seem to be deceiving the public, gouging consumers with high prices and reaping super-profits," Cruz said. (PR)

(February 9, 2005 issue)
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