Three telcos and some telecom industry experts in Bangladesh are calling for the effective implementation of Significant Market Power (SMP) guidelines to ensure fair competition and sustainable investments in the country’s telecom sector.
The three telcos are Robi, Banglalink, and Teletalk.
The noted that out of 20 restrictions imposed on the SMP in that country, Grameenphone (GP) in 2019, only three have been enforced, limiting the guidelines’ effectiveness.
During a roundtable titled “Telecommunications Sector: Stalled Investments and Unequal Competition,” legal expert Barrister Rashna Imam also stressed the need for the Bangladesh Telecommunication Regulatory Commission (BTRC) to use its full legal powers to create a level playing field for all telecom operators.
The sector has been marked by an imbalance, with GP benefiting from market power while smaller operators struggle.
Shahedul Alam of Robi Axiata, and Taimur Rahman from Banglalink highlighted the challenges smaller operators face, including unfair cross-subsidies from GP, while the Managing Director of Teletalk, Nurul Mabud Chowdhury also echoed concerns about the severity of the competition imbalance.
Industry leaders called for reforms, efficient equipment sharing, and government support to promote fair competition.
BTRC Chairman Maj Gen (retd) Emdad ul Bari expressed his commitment to implementing necessary reforms while encouraging industry collaboration. However, he noted that decisions must still pass through government approval.
Ghana
In Ghana, MTN was named SMP in June 2020, and seven restriction were announced. So far all seven have been implemented but the market gap between MTN and the other player have even widened further in favour of MTN.
For instance, per the regulator’s own presentation, MTN had a 55% market share in December 2019, six months before the SMP guidelines implementation. But as of February 2023, MTN had gained market share to 67%, while the smaller telcos had lost market share significantly.
The current figures published by the regulator, National Communications Authority (NCA), indicates that the market gap have even worsened in spite of all efforts to bridge it.
The infographic picture below was recently published by the NCA in an article on its website.
Meanwhile, government has issued a 5G license to a wholesaler to build and operate a share 5G network on universal access, as part of moves to bridge the market gap. The network has been built and launched but it is yet to go live for Ghanaians to experience it.
MTN, the only SMP does not seem interested in the shared 5G network, and with the change of government, they are hoping to secure a separate license to roll out their own 5G network, which will further make nonsense of the SMP restrictions and their purpose.
