Trinidad and Tobago Computer Society

Year: 2015

  • Trinidad & Tobago Computer Society Statement to Telecommunications Authority of Trinidad & Tobago on the proposed acquisition of Columbus International by Cable & Wireless Communications

    Trinidad & Tobago Computer Society Statement to Telecommunications Authority of Trinidad & Tobago on the proposed acquisition of Columbus International by Cable & Wireless Communications

    cable&columbus

    Trinidad & Tobago Computer Society (TTCS) Statement to the Telecommunications Authority of Trinidad and Tobago
    on the proposed     acquisition of Columbus International by
    Cable and Wireless Communications.

    This comment is submitted by the Trinidad and Tobago Computer Society (TTCS ; http://cs.tt ) in response to the request for comments on the proposed acquisition of Columbus International Inc.(CII) by Cable and Wireless Communications (CWC)  published by the Telecommunications Authority of Trinidad and Tobago (TATT) on January 5th, 2015. The TTCS has commented on various ICT issues over the past decade as it relates to the interests of end users.

    The proposed acquisition can lead to high ownership concentrations in the provision of voice and broadband Internet services throughout the Caribbean as well as in subsea fiber connections. This acquisition may also reduce the probability of healthy competition in mobile telephony services in some jurisdictions. The concerns with the proposed merger between the parties (absent speculation on changes in corporate allegiance) revolves around five main pillars:

    • Potential decrease in market efficiency (competition vs effective duopoly/oligopoly – more benefits to firms rather than consumers);
    • Reduced consumer options for voice and broadband internet services (with an effective CWC/CII and Digicel duopoly);
    • Higher cost of voice and broadband Internet services (concentration of market power among fewer firms);
    • Reduced quality of service in voice and broadband Internet services (common with a concentration of market power among fewer firms);
    • A potential underserving of remote or otherwise ‘less-profitable’ areas by the new corporate entity, and
    • An increase in corporate compliance issues (arising out of the attitude of a merged CWC/CII towards consumers, employees and government regulators, based on experience and past local and regional attempts to “game” the regulators by CWC imposing additional charges and changing service terms).

    Ultimately, the TTCS sees the proposed merger as having the potential to reverse two decades of progress in liberalizing the local telecommunication sector and that residential, business and government consumers may lose many of the benefits of competition.

    Furthermore, the TTCS notes with concern that TATT has only allowed for a one week comment period on this complex issue. We believe that extending this comment period as well as increased advertising would increase the participation of the general public in this critical decision.

  • Telecom Authority of #Trinidad & #Tobago seeks public comments by Jan 12 on proposed acquisition of Columbus International by Cable & Wireless

    Telecom Authority of #Trinidad & #Tobago seeks public comments by Jan 12 on proposed acquisition of Columbus International by Cable & Wireless

    On January 5 2015, the Telecommunications Authority of Trinidad and Tobago (TATT) announced it is seeking pubic comments on the proposed acquisition of Columbus International (which includes its subsidiaries Columbus Communications Trinidad Limited (Flow) and Columbus Networks International ) by Cable and Wireless Communications (which is a a minority shareholder in Telecommunications Services of Trinidad & Tobago (TSTT)) by January 12 2015.

    Written feedback regarding this solicitation should be directed to TATT at: corporatesecretary@tatt.org.tt

    Here’s the full announcement from TATT dated January 5 2015 :

    SOLICITATION OF COMMENTS

    THE PROPOSED ACQUISITION OF COLUMBUS INTERNATIONAL INC. BY CABLE AND WIRELESS COMMUNICATIONS (CWC)

    On the 6th November 2014, Cable and Wireless Communications Plc announced its proposed acquisition of Columbus International Inc, which includes its subsidiaries Columbus Communications Trinidad Limited (CCTL or FLOW) and Columbus Networks International Limited (CNITL).

    In accordance with the Telecommunications Act Chap 47:31 and the Concession Agreement held with all authorised operators, the Telecommunications Authority of Trinidad and Tobago (the Authority) must approve in writing “any transfer of assignment or control” or otherwise, of the Concessionaire  and/or Disposal of Assets by the authorised operator(s). In such undertaking, the approval of the Authority shall not be unreasonably withheld.

    The Authority is hereby inviting comments from the public on the proposed acquisition.

    All responses will be held in confidence at the Authority. This solicitation process will be open until Monday 12th January 2015.

    Details on the acquisition can be found at http://www.cwc.com/

    In addition, Trinidad and Tobago’s market data can be sourced from the following links:

    Quarterly Market Reports

    Annual Market Reports

    Written feedback regarding this solicitation should be directed to the Authority at: corporatesecretary@tatt.org.tt

    or

    The Corporate Secretary,
    Telecommunications Authority of Trinidad and Tobago,
    #5, 8th Avenue Extension, Barataria.

    Comments to be submitted on or before Monday 12th January 2015.

    The Authority shall use its own discretion in the conduct of the assessment of the proposed acquisition and is under no obligation to accept/respond to comments submitted in this process.