TRC did not require Digicel to withdraw Caribbean plans
In the case of Digicel (BVI), the Final Decision found Digicel (BVI) to be guilty of anti-competitive behavior in the offering of its Caribbean Calling Plans. A similar finding was made in relation to LIME (BVI)’s All Talk Plan for part of the period under investigation. The Final Decision directs both parties to cease the anti-competitive behavior and to pay a fine by June 30, 2012.
In specific terms, Digicel (BVI) was ordered to:i. Under section 75(2)(g) of the Act, cease from offering in the BVI the Caribbean Calling Plans to the extent that they constitute an anti-competitive margin squeeze on CCT
The Final Decision can be viewed on the TRC’s website at www.trc.vg.
The TRC did not order Digicel (BVI) to withdraw the Caribbean Plans from the market but to ensure that they were not anti-competitive so that CCT could offer similar plans to their customers.
“The problem is that CCT cannot offer the same product as Digicel BVI because they cannot access Digicel’s Caribbean networks on the same terms as Digicel BVI,’ said Ayana Hull, Chairman of the TRC. “It appears anti-competitive that Digicel BVI’s customers can call Digicel’s Caribbean networks for a retail price which is far below the wholesale price that CCT must pay to access Digicel’s Caribbean networks. If Digicel BVI offered similar wholesale terms to CCT, then both would be able to offer cheap calls to Digicel Caribbean networks and there would be no need for Digicel BVI to withdraw their Caribbean plans. Digicel (BVI) could also revise the terms of the Caribbean plans for their customers which we hope they will consider.”
Guy Malone, Chief Executive Officer of the TRC added, “We understand that Digicel BVI provided a very appealing offer to their customers in the Caribbean plans but the problem is that these plans impact the long term competitive dynamic of the BVI mobile market and as the Regulator we have to act in the face of such anti-competitive behavior to protect the long-term interests of the BVI consumer.”
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