Cable Co & CellOne Long Distance

February 16, 2012

[Updated with Digicel's remarks] Cable Co. has launched a new International Long Distance service for CellOne’s mobile customers.

This pairs Class A carrier Cable Co.; noted for investing $26 million in the creation of the undersea cable link “Challenger” from Bermuda to the USA; and CellOne.

Sheila Lines, Director of Cable Co. said, “This marks Cable Co.’s first retail service product as we look to continuously build upon the services afforded to us under our license. We are delighted to be working with CellOne on this launch.”

Frank Amaral, COO of CellOne said, “We welcome the opportunity to work with Cable Co. CellOne subscribers will benefit from having the most choice and the best value in ILD services, with the convenience of having one bill and a single point of contact. It’s a win for CellOne customers.”

Plans include a pay per use with rates starting from 9 cents per minute and unlimited calling starting from $19.95 per month. There are no contracts and customers signup directly with CellOne.

Update: Digicel released a statement saying, “Digicel notes that CellOne has today launched a new international long distance (ILD) service which will allow their customers use direct dial International Long Distance services through their affiliate, Cable Co.

“Digicel is very surprised at this move by CellOne, given the deafening howls of protest voiced publicly by CellOne to the very same type of service as launched by Digicel/Transact in September of last year.

“Indeed, CellOne played a leading role in the concerted and highly visible campaign of opposition to the Digicel/Transact service that was conducted among various telecommunications providers in Bermuda such as CellOne, TeleBermuda and North Rock. CellOne has today performed a legal back flip worthy of an Olympic athlete.

“However, CellOne’s former comrades in opposition to Digicel will undoubtedly be less than pleased at having been so ruthlessly abandoned. There will now be one less familiar face decrying Digicel’s actions.

“In addition to playing a central role in this vitriolic PR/Media campaign, CellOne have at all times refused to allow interconnection between CellOne and Digicel/Transact. This refusal was stated to be on the basis that the provision of direct dial ILD to mobile subscribers in this manner was unlawful and contrary to Government policy in Bermuda.

“CellOne have consistently and forcibly opposed the Transact ILD service on this basis both before the Supreme Court and before the Telecommunications Commission. Today, it would seem that CellOne has recognized the fallacy and hopelessness of the positions adopted by them in the legal proceedings to date which are obviously baseless, cynically motivated and ill-conceived.

“CellOne have now seen the light. However, abandoning their legal position in such dramatic circumstances is likely to have serious costs consequences for CellOne in those legal proceedings. No party ought to be allowed abuse the legal process in such a cynical and duplicitous manner. Digicel shall address this particular matter as appropriate and before the correct forum.

“Digicel/Transact assume that CellOne will immediately take what are minor technical steps to allow their Cell phone mobile subscribers the freedom of choice to avail of the Transact Long Distance Service. To date, CellOne has refused to do so. Digicel has always welcomed competition; in Bermuda and elsewhere.

“However, Digicel and Transact are most concerned with the manner in which they were improperly impeded and frustrated by CellOne through the Courts and before the Telecommunications Commission for four months. Digicel welcomes CellOne’s belated tacit admission that Digicel and Transact acted lawfully and properly at all times in relation to the launch of the Digicel/Transact ILD service in September of last year. ‘If you can’t beat ‘em; join ‘em’ is today’s catch cry from CellOne. As history has proven in Bermuda, where Digicel leads, CellOne shall surely follow- eventually.

“Nonetheless, Digicel warmly welcomes CellOne’s entry into the ILD market and looks forward to competing fairly but strongly with them in that market. Digicel has never feared competition but rather thrives on it. This is a good day for consumers in Bermuda. Choice and competition are always to be welcomed.

Digicel CEO Wayne Caines commented, “Digicel welcomes CellOne’s entry into the ILD market and we look forward to vigourously competing in the marketplace with them. We would ask though why it is that CellOne fought us tooth and nail, at enormous expense, through the legal process based on legal positions and principles that it has now abandoned.

“This will obviously need to be addressed in due course, but for now, Digicel is happy to meet CellOne head on in the marketplace. Digicel was confident that the launch of the Digicel/Transact ILD service would invigorate the marketplace for the benefit of consumers. Today’s development is further proof that Digicel was right in this regard”.

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Comments (5)

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  1. TBI Lost says:

    Poor, TBI! Now they surely realize what was really going on when CellOne opposed Digicel so much in court. It appears that Digicel beat CellOne to the ILD business and CellOne partnered with someone who had a vested interest in that market. The future doesn’t look good for TBI. First Digicel eats into their revenue and now their “comrade” in the courts is eating into their revenue. But ultimately, the consumers of Bermuda win by having more competition. It will be interesting to see what backlash this has against CellOne as they have basically done what they claimed was unlawful for Digicel to do.

  2. Nancy says:

    CellOne has today performed a legal back flip worthy of an Olympic athlete. Well said Mr. Caines. That’s why Cellone gets the gold medal for the best network and customer service in Bermuda. Yeah for Cellone !!!!!!

  3. Soooo says:

    I believe CellOne has had this on the back burner for some time (waiting for it to become legal within the “new regulations”). However, since no-one can make a decision on the legality of Digicel’s long distance why not just play the game…

    I commend CellOne for taking the legal high road and not launching earlier. Maybe now the Commission will make a decision (but I doubt it)

  4. HOTMESS says:

    Soo, they have taken the high road ?You can justify Cellone’s move all you like. The move is hypocritical and duplicitous. The truth is: Cellone objected to Digicel offering long distance ! They ran to the Courts…. There has been no adjudication in the Courts, the Ministry has not issued a new policy, nor have they clarified the outstanding issue. Cellone have gone and launched this new Long Distance Service without permission or clarification from the Minister.

    How do their actions differ from Digicel ? Well, they must have seen how much money Digicel were making or could make and could not be left out of such a lucrative market space.

    HYPOCRITES