A few weeks ago, I blogged about the Department of Justice has begun looking into large U.S. telecommunication and wireless networks for possible anti-competitive practices. AT&T Inc. and Verizon Communications Inc. were said to be the main target of the government review.Apparently, Sen. Herb Kohl's congressional panel is in-charge of reviewing potential anti-competitive behaviors of the country's largest providers of wireless network services. There are concerns over texting prices, roaming disputes, disputes over spectrum and exclusive access to popular phones.
However, AT&T is not going down without a fight. The carrier immediately decided to make a response to this information on the anti-competitive practices review to be conducted by the DOJ.
James Cicconi, an AT&T senior executive vice president, delivered a statement in defense of his company. The AT&T senior executive vice president indicated that charges of anti-competitive practices by US wireless networks are unfounded. He stressed that the prices of U.S. wireless are much lower than in any other major industrialized country.
Cicconi also argued that exclusive handset arrangements are standard practices. Exclusive access allows a carrier and a manufacturer to split the high cost of marketing. The case is similar with early termination fees that help wireless networks to recoup money spent discounting handsets.
Well, this is certainly interesting. I hope that a review will bring about pro-consumer policies. I wonder why Verizon Wireless did not respond to this anti-competitive practices review. AT&T decided to take action quickly and their response make sense.
However, an inquiry into practices will only help consumers in my opinion.
That's it for this post on AT&T's response to the government's anti-competitive practices review. Tune in to this blog for more news and updates on wireless networks.
No comments:
Post a Comment