No benefits? No way. TUANZ recently received word from one large corporate member that their predicted savings is in the millions. Not $1m or $2m...more.
So it's quite ridiculous after all this time to propose that neither businesses nor consumers will benefit from the regulation of MTR. An industry band of MTR mercenaries, led by TUANZ, have been crying out for this for over six years now. The fact that we've now won an acceptance of the Commerce Commission's regulation recommendation from the Telecommunications Minister was the last feather in the now very feathery cap of our outgoing leader, TUANZ Chief Executive Ernie Newman.
TUANZ does not brave battles like MTR lightly. Though ironically in this instance, it turned out that we should've just galloped over the bridge to Vodafone, handed them a bow and arrow and stepped back while they shot themselves in the foot. TUANZ has been campaigning for this change for so long now would we really have worn our armour thin by fighting for regulation in MTR if it wasn't going to benefit our users?
So I've read back over the submissions, the blogs and the comments on the blogs. Some of them are quite intriguing, like when Vodafone suggested in a blog comment that it was "all moot anyway". It will be if we can move to a bill and keep regime where reciprocal charges are zero. How refreshing that would be.
Aside from Mexico, New Zealand is now the only country in the developed world that does not regulate mobile termination rates. In the Commerce Commission's Annual Telecommunications Monitoring Report 2009, released this April, they share a few facts and figures that indicate, MTR aside, just how much we're suffering.
New Zealand has 4.9m active mobile connections, that's a 114% penetration rate indicating that we want to use our mobiles, right? Yet despite this, mobile calling makes up only 27% of total voice minutes – so we're not using our mobiles for voice. I wonder why?
Sure we use our mobiles for text - 65% of mobile data revenue was from SMS - but imagine the possibilities for the suppliers and consumers, if we can realistically afford to call mum and dad instead of sending them a text message.
In April 2007 number portability was launched. You move networks, you keep your number. Cool. There's no visibility though and we're often caught out. Corporate NZ is suffering too, with purchasing power being split down the middle by employees with 'mates or family' in different camps.
The need for competition is shown so clearly through these figures. When XT launched, numbers ported peaked in that month, increasing to over 4000. Then when 2degrees launched just over a year ago this number jumped to more than 15,000 per month. Don't you just love competition? With other providers determined to stay in the mobile game there's competition out there now too. Bring it on.
I do want to know though…how are they going to ping us next? I'll take one guess. Data revenues are increasing and the penetration of smartphones in the market is increasing too, to be sure it'll go up before it comes down.
On MTR, Telecom and Vodafone have nothing to whinge about. Get over it. Innovate to stay in touch with your consumers. We won't stand for wool pulling anymore. TUANZ will be watching.
