Monday, May 25, 2009

2degrees: Telecom is being a bully

By Benedict Wee

New Zealand Telecom is being accused of deploying playground-bully tactics by telco provider 2degress. The new mobile network provider, which is set to launch in August, has claimed that Telecom has refused to interconnect with 2degrees’ local “Homezone” calling service which has resulted in them not being able to provide said service, thereby cutting them out from the market.

2degrees have alleged Telecom of being blatantly anti-competitive and accused them of abusing their current market power. Chief Commercial Officer, Bill McCabe said in a statement on the 2degrees site:

“This is a piece of aggressive, bullying behavior that betrays Telecom's insecurities about competition from 2degrees' new mobile network, which is just months away from launch.” (Update: Just announced on NZI Business, 2degrees is taking Telecom to the communications commission to seek a ruling on this matter, apparently this has happened before with Vodpahone.)

Annnd the claws are out! 


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