Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


CLEAR Seeks Commerce Commission Intervention

CLEAR Seeks Commerce Commission Intervention To Halt Quarter Million Dollar Monthly Costs Created By Telecom Refusal

CLEAR Communications is seeking Commerce Commission intervention to force Telecom to comply with WorldxChange’s request to switch WorldxChange's traffic from Telecom’s network to CLEAR’s network. Each month Telecom stalls, CLEAR loses up to a quarter million dollars of revenue while around 40,000 WorldxChange customers miss out on more competitive pricing.

CLEAR’s Executive General Manager Corporate Affairs, Kevin Millar, says Telecom’s refusal to switch WorldxChange calls to CLEAR’s network is a classic example of how Telecom uses its monopoly power to prevent competition.

“Telecom is refusing to discuss this matter commercially. Noting the substantial and on-going harm this situation is having on WorldxChange’s customers, WorldxChange and CLEAR itself, CLEAR has formally asked the Commerce Commission to stop a serious and ongoing breach of the Commerce Act by Telecom,” he said.

WorldxChange wants to access lower charges by using CLEAR’s network and then pass the savings on to customers. Telecom is saying WorldxChange should disrupt its retail business by asking customers to change the numbers they dial to use CLEAR’s network.

Mr Millar said, “There’s no possible reason for Telecom not to do what they’ve been asked other than to stop WorldxChange and CLEAR competing. Telecom recently actioned transactions of this type for two smaller Telco companies so why won’t they do it for WorldxChange? In our view it’s a blatant Commerce Act breach.”

Both WorldxChange and CLEAR have tried to solve this commercially and once again have found it’s very difficult to achieve a reasonable outcome when negotiating with a monopoly. Telecom has no contractual right to prevent WorldxChange from choosing another network to carry its calls and there’s no requirement or need to alter customer dialling.

“Unfortunately, we were unable to achieve a balanced commercial outcome despite our best efforts to solve this reasonably. That’s completely unacceptable in today’s environment where competition and consumer choice must be encouraged if New Zealand telecommunications is to keep pace with the rest of the world,” said Mr Millar.

This is one of a series of recent refusals from Telecom to negotiate fair access to enable greater competition. New Zealand customers are losing out at the time when we are grappling as a nation with how to provide better access to the online knowledge economy.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Half Full: Fonterra Raises Forecast Payout As Global Supply Shrinks

Fonterra Cooperative Group, the dairy processor which will announce annual earnings tomorrow, hiked its forecast payout to farmers by 50 cents per kilogram of milk solids as global supply continues to decline, helping prop up dairy prices. More>>

ALSO:

Results:

Meat Trade: Silver Fern Farms Gets Green Light For Shanghai Maling Deal

The government has given the green light for China's Shanghai Maling Aquarius to acquire half of Silver Fern Farms, New Zealand's biggest meat company, with ministers satisfied it will deliver "substantial and identifiable benefit". More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news