Recto raps AT&T’s ‘bullying tactics’

Sen. Ralph Recto denounced US telecommunications giant AT&T for bullying Philippine telcos, saying the telecoms war could soon become a concern of the Bush administration.

Recto said AT&T got the US Federal Communications Commission to order American carriers to stop paying termination fees on international calls to the Philippines.

"For now, it is the Philippine Long Distance Telephone Co. that suffers an immediate setback. But soon, Globe, Digitel, BayanTel, and Smart will experience substantial losses as their market shares in international traffic grow," he said.

He said the US FCC ruling "is too lopsided in favor of American carriers."

He noted that AT&T charges 21 US cents per minute for calls from the US to the Philippines while demanding that Philippine telcos charge only 6.5 cents per minute.

"We need to ensure that AT&T is not just doing this for profiteering reasons. It seems they just want bigger profit margins at the expense of the local telecos," he said.

He stressed that greed can only be the reason for AT&T’s "antics, since calls to the Philippines are the largest international route for US carriers." – Jess Diaz