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The Government is taking action to deal with recent concern over billing practices by some content service providers (CSPs) of chargeable mobile content services delivered through short messaging services (SMS)/multimedia messaging services (MMS).
The Office of the Telecommunications Authority (OFTA) moved quickly to approach the mobile network operators (MNOs) when the issue first arose and has been pushing the MNOs to respond positively. As a result of this action, a code was worked out and adopted by the MNOs today (January 11).
The Permanent Secretary for Commerce and Economic Development (Communications and Technology), Mr Duncan Pescod, made the above remarks at the Legislative Council Panel on Information Technology and Broadcasting meeting today.
In the code, the MNOs are obliged to ensure that the CSPs will inform consumers of the charges properly, seek their confirmation on using their service in a proper manner, and most importantly, put in place a straightforward unsubscription mechanism.
The code also contains a range of sanctions including steps being taken within a short period of time following a complaint whereby a CSP's service on a network may be terminated if it is found to be in breach of the conditions set out in the code and has failed to rectify the situation.
"The code represents a step forward to enhance consumer service levels and shows that the industry is anxious to step up to the plate in order to improve the situation.
"However, if this form of self regulation does not effectively deal with the problems, the Government is prepared to move on legislative amendments. We will monitor the situation and consider whether further steps will be necessary," Mr Pescod said.
Mr Pescod noted that although the problem concerns a very small minority of the CSPs, it nevertheless is clearly unacceptable as it has harmed consumer interests and damaged Hong Kong's reputation as an advanced telecommunications hub.
Recently, there has been considerable debate over some practices by a small number of companies providing chargeable SMS. Accordingly, the OFTA has taken steps to ensure that a system is put in place to address these practices.
Ends/Monday, January 11, 2010
Issued at HKT 17:50
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