BTC: No fears in face of greater competition

By KHRISNA VIRGIL

Tribune Staff Reporter

kvirgil@tribunemedia.net

WITH the government now able to move freely towards liberalising the communications sector, executives at the Bahamas Telecommunications Company Ltd said they have no concerns regarding competition from additional service providers.

Admitting that the monopolistic company does anticipate some market share loss, Marlon Johnson, vice-president of marketing at BTC, said work is already in

motion to minimise any negative affects of foreign companies.

He was speaking after Prime Minister Perry Christie’s announcement yesterday that effective today and moving forward, the government is able to immediately proceed with liberalising communications in the Bahamas. Mr Christie added that consumers could anticipate having more options very shortly.

He did not say if the government was already in the process of considering companies or if there were any front runners for that matter.

“This is not a surprise to us,” Mr Johnson said, “because it was always a part of the shareholder agreement that in April 2014 the market would open up. 

“BTC’s position has always been that once the competitive market is fair, open, equitable, and with an appropriate regulatory frame work we would have no reservations. The consumer is the one that has to always have the final say.

“We are already working in a competitive market as we have competition with land line and internet services. We always anticipated that customers will leave. With that we are building our forecast now in anticipation that the competition will be successful in winning some of our market share, but our mission is to minimise that.

“We are building into BTC’s forecast some market share erosion because customers will make choices.”

As BTC positions itself for inevitable competition, Bahamas Telecommunications and Public Officers Union (BCPOU) President Bernard Evans said the union’s only objection would be in seeing Digicel enter the Bahamian market.

Mr Evans in January publicly stated that he was displeased with the government’s deal with Cable and Wireless Communications to transfer nearly two per cent of BTC’s shares into a trust for the Bahamian people.

He said: “We always welcomed competition because we really didn’t see a need for more of the Bahamian people’s money to be leaving the country with top level jobs given to foreigners. 

“We don’t have any objections except to Digicel. In all of the regions where they operate, Digicel does not recognise unions or the right of citizens to organise themselves into unions.”

To date, Mr Evans told The Tribune that the government has not engaged the BCPOU in any talks regarding liberalisation of the market.

Comments

Stameko says...

while it will take some time before another operator is up and running, depending on the process run by the government, this is good news, as the whole reason for liberalization is to place the power in the hands of us the consumers. better pricing and better service should follow. I don't think BTC/LIME have done a bad job to be honest....anyone who travels knows there is no such thing as perfect cell service, including those most outspoken about it. in fact we mustn't forget that 2-3 years ago, data was at a snail pace and now exploded - everyone seems to have smartphones now. Gvt has reaped some nice dividends no doubt...but now we will see as competition arrives, that BTC is not a valuable as it is made out to be. and as for BEC vs BTC reliability of service.....well, say no more. all in all I think this will end well for the consumer, who will now have a choice andwill get more in their pocket as a result of the cheaper more reliable cell service

Posted 1 April 2014, 12:25 p.m. Suggest removal

Stameko says...

as for the BCPOU, they are not in this for the consumer or the Bahamian people, just themselves. it is this self serving attitude that sends them continuously in the wrong direction. They should now be thinking, hey, new operator equals more jobs for Bahamians in the telecom sector....and if it is true that Digicel does not have any unions, maybe this means their staff are happy not being unionized?

Posted 1 April 2014, 12:29 p.m. Suggest removal

newcitizen says...

So this ridiculous government has spent money buying back 2% of BTC just so they can go ahead and open up competition to private companies. They should have been selling what was left of their share and then opening it up for competition. Does anyone in power actually think, or did they find another way to take under the table money from this setup too?

Posted 1 April 2014, 1:56 p.m. Suggest removal

sheeprunner12 says...

Tell Uncle Tom Marlon Johnson , C&W .................... F*%#@KKKKK OFF. We need some real competition to these goons

Posted 1 April 2014, 2:55 p.m. Suggest removal

TalRussell says...

Oh i didn't know the government regained ownership of BTC? Book Comrade "funny-man" Marlon for a gig at some comedy venue cause he made all we laugh when he said: "Admitting that the monopolistic company does anticipate some market share loss, Marlon Johnson, vice-president of marketing at BTC, said work is already in motion to minimise any negative affects of "foreign" companies.

Ha ha!

Posted 1 April 2014, 6:41 p.m. Suggest removal

John says...

Have you noticed the number of dropped calls on cell phones recently? Well it actually started since C&W took over. Despite the company bragging about how many millions of dollars they spent upgrading the system you cannot be on a call for two minutes without the call dropping or the party you are talking to becoming inaudible or vice versa. Be Aware that EVERY dropped call means more revenue for BTC when you have to call the party back.

Yes everyone is looking forward to competition entering the marketplace for BTC. Again, many hope it is not Digicel, because this company seems to have policies that duplicate C&W. Many stores that sold cell phones can no longer do so because they cannot compete with BTC so they (BTC) may now have to fight with a giant of their own size. And those who sell phone cards and other BTC products can now go with the company that offers the best margin and allows the a greater profit.

As for service, there is doubt that a new company coming in the market will offer 'that much better' service, at least not immediately, simply because rather than choosing to build a communications system from the ground up, the new company may prefer to piggyback on BTC's existing equipment. If it is faulty or unreliable, then the new company will have similar problems of system outages and dropped calls, and dead spots with no service that BTC has.

But pricing may be another matter...Why is there such a vast difference in the price of a home phone service from Cable Bahamas and one from BTC?

Posted 2 April 2014, 11:59 a.m. Suggest removal

John says...

APRIL FOOLS JOKE!!!! least we forget: The government is a major shareholder in BTC! Should they then be in charge of liberalizing the communications market and/or selecting the competitor that will be competing against their own company, or should this be done by an independent body?

Posted 2 April 2014, 12:06 p.m. Suggest removal

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