Competition among the three telecommunication companies on pricing and quality of services is expected to intensify with the implementation of mobile number portability by the end of September this year.
Portability will allow subscribers to shift to another network without changing mobile number and at no cost.
In compliance with the Mobile Number Portability (MNP) law, DITO Telecommunity Corp., Globe Telecom Inc. and Smart Communication Inc. yesterday formally launched Telecommunications Connectivity Inc. (TCI), the implementing arm for all activities between mobile service providers on one hand and the clearinghouse on the other.
With this, telcos are expected to battle for market share and for subscribers.
“I am certain that all the telcos are really preparing their promos and getting ready and looking for ways to encourage subscribers to port out and take their services…Mobile number portability encourages competition from the three telcos, so they will try to out-promo each other,” said Adel Tamano, DITO chief administrative officer and TCI treasurer, in a press briefing.
“…ultimately as I understand the purpose of the law … the battle is not going to be in the promos, the battle will be on the quality of service and that’s how to keep our customers. I think at the start there will be a lot of promo fighting, but eventually it will be the quality of service that will win the day and that’s good for the industry,” Tamano added.
The MNP, as a global practice, enables a mobile phone customer to keep their number even when they switch networks or change their subscription from postpaid to prepaid and vice versa without charge.
Initially, the TCI is projecting to handle one million subscribers porting out monthly starting September 30, “But in other countries you see 30 percent of the subscribers porting out, so we’re preparing for that,” said Melanie Manuel, TCI interim general manager.
To port within networks, a subscriber should have an active subscriber identification module or SIM, has no remaining balance from the previous bill (for postpaid), no existing court prohibitions and no pending transfer of ownership.
MNP helps promote consumer welfare by fostering the freedom to choose and to respond to quality, price and other relevant considerations without consumers having to change their mobile numbers whenever they change mobile service providers or subscription plans. (M. Iglesias)
