The Philippine Competition Commission (PCC) has formed a task force that would look into possible cases of abuse of dominance of developers and their internet service providers (ISPs) which engage in exclusive partnerships for their residential projects.
In his remarks at a forum sponsored by the Economic Journalists Association of the Philippines over the weekend, PCC chairman Arsenio Balisacan said the commission has received numerous complaints about exclusive deals of condominium developers and ISPs that limited residents’ choice of an internet service provider.
Balisacan said the PCC’s first abuse of dominance case involved a condo-internet exclusivity deal. A year after the case was resolved, the commission also filed similar charges against another condo developer last February and is currently investigating a subdivision owner.
Balisacan noted the importance of giving consumers options for their ISPs especially during this time when most are working and studying from home.
Abuse of dominance is a violation of Section 15 of the Philippine Competition Act, which prohibits exploitative and exclusionary conduct that substantially lessens competition. An entity found to have abused its dominance in the market could face a fine of up to P110 million.
