Mobile Number Portability Act touted as boosting competition, expanding choice

THE Philippine Competition Commission (PCC) said the Mobile Number Portability (MNP) Act has encouraged more competitive behavior among mobile service providers (MSPs) by expanding consumer choices.

“The assessment shows that the MNP Act has encouraged more competitive behavior among MSPs in attracting and retaining subscribers,” the antitrust regulator said in a statement on Tuesday.

Republic Act No. 11202, or the MNP Act, was signed in 2019. The law enable network subscribers to retain their mobile numbers for free when switching between MSPs. 

Citing its competition impact assessment (CIA) study of the law, the PCC said the MNP Act provides sufficient safeguards against the abuses of dominant position by MSPs.

The law also has safeguards against discriminatory practices due to self-regulation, and the illicit access and use of personal information that may lead to anti-competitive conduct.

To attract users, MSPs developed online channels where subscribers can find information on the benefits of switching to their services, the PCC added.

Citing Telecommunications Connectivity, Inc. (TCI), PCC noted the significant influx of subscribers switching to the third player (DITO Telecommunity Corp.) during the first 10 months of implementation.

However, this trend declined in the coming months, the PCC noted.

TCI reported that less than 0.1% of registered mobile numbers switched from one MSP to another, during the first three years of implementation.

TCI is a joint venture formed by MSPs — Smart Communications, Inc., Globe Telecom, Inc., and DITO Telecommunity — to facilitate MNP services.

It serves as a clearing house that manages MNP services. This includes ensuring that subscribers can switch between MSPs without changing their mobile numbers.

However, the PCC noted issues with the law’s implementation that could indirectly affect competition.

This includes the low number of porting applications during first three years of MNP implementation, which could reflect subscribers’ limited knowledge of the MNP Act.

“If subscribers are unaware of their freedom to switch to another MSP when dissatisfied, they may not realize the full benefits of the bargaining power offered by RA 11202,” PCC said.

It also noted that the National Telecommunications Commission is in “proximal position” to advise the TCI and MSPs on competition matters.

The CIA study recommended the creation of joint awareness campaigns to reintroduce the MNP Act to the public. It also called on the need to revisit current porting capacities to minimize costs associated with unused slots.

The PCC conducts CIA studies to assess laws, regulations, and proposals that may potentially harm competition. — Beatriz Marie D. Cruz