State regulator warned Smart over luring qb subscribers

The Telecommunication Regulator of Cambodia (TRC) last week warned mobile operator Smart that it could face legal action for attempting to lure customers away from rival operator qb, and ordered Smart to resolve the issue “immediately,” according to a letter from TRC to Smart’s CEO obtained Tuesday. The letter, dated May 19 and signed by TRC chairman Mao Chakrya, was sent the same day the Phnom Penh Municipal Court ordered Smart employees and partners to cut off contact with qb customers, and to cease advertising aiming to lure subscribers away from qb. … Qb has accused Smart of damaging its reputation and financial interests after the two firms agreed to terminate a long-standing agreement that allowed qb customers to tap into Smart’s network when they were roaming. Before the termination agreement was carried out, qb began receiving calls from customers who said that Smart was contacting them to switch to Smart’s network. … The letter goes on to say that Smart violated sections of Prakas 206 on network interconnection, which regulates domestic roaming agreements. The letter tells Smart to immediately stop luring qb customers and damaging qb’s reputation. … A source with direct knowledge of the proceedings, who declined to be named because of the sensitivity of the matter, said Tuesday that qb will pursue civil and criminal charges against Smart because the larger operator had “jeopardized qb’s total shareholder investment,” which is estimated at more than $120 million. … Smart CEO Thomas Hundt declined to comment Tuesday. Michael Fitzpatrick, qb’s chief marketing officer, said qb is waiting to hear from Smart before making its next move. …

Joshua Wilwohl
http://www.cambodiadaily.com/business/state-regulator-warned-smart-over-qb-dispute-59813/