CEO of mobile firms being given notices by CCP

February 6, 2010
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cell_phones_schoolsIn a latest turn of events in the Telecomm industry The Competition Commission (CCP) has issued a 24 show-cause notices to chief executive officers of the five cellular telecommunication operators on charges of price fixing and collaboration.

According to the inquiry report that is launched with the inside information provided from the insiders all of these major Telecomm companies have been involved in the price fixing scam.

The inquiry report also concludes that the companies had basically indulged into an agreement to revise the price of SIM cards and missed call charges which clearly violates the competition ordinance.

The in-charge of the inquiry were CCP Director Shaista Bano Gilani and Joint Director Waqqas Ahmad Mir.

According to the report, these major mobile companies have basically collaborated on the financial aspects of the cellphone market including the tariffs, pricing, marketing and advertising strategies.

Pakistan is one of the largest cellphone user in the region and a small pricing adjustment will have a direct impact on the consumers and the users.

So with the collaboration on these tiers the cellphone operators have violated the market competition environment and the outcome of this will be much awaited.

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2 Responses to CEO of mobile firms being given notices by CCP

  1. Naufil on February 7, 2010 at 3:48 am

    Very well said Rizwan…..your comment sums up it all…..buisness should be a competitive league…..not on the collaborative terms….. If they will raise the tarifs on a mutual consensus than the consumers won't be getting any relief from the operators side….

  2. Rizwan on February 6, 2010 at 8:50 pm

    not only the Sim card , but the fee dedcution of 5% is also seems effort to raise revenue ( with approved thoughts) between them..i think advertisements,tarrifs,sim card value,min call pricings has to be set by PTA or an equal level committe whcih comprise all Commercial from Telcos”s civil society and consumers… this is not an exact open market any more..this is a sliding market and consumers rights along with commercial aspects need to protected…insta Phone is already gone , Warid is under stress, OT is reducing..Pakistan economy hits by War on terror, every chance this slide will continue…better try to save all parties for the time…