Subject: [NEXTEL-1] Carriers Mull 'Code Of Conduct'-Wanna bet Nextel will cry Foul?

From: Marcel <[email-masked]>
Date: Wed, 19 Mar 2003 14:25:10 -0500

Wanna bet Nextel will cry Foul?

Carriers Mull 'Code Of Conduct'
BY MARK ROCKWELL
MARCH 19, 2003

NEW ORLEANS--Faced with increasing pressure from state regulators, wireless
carriers have been mulling the idea of a uniform 'code of conduct' for billing and
service quality. As good as that idea sounds, however, some significant issues
have to be considered before anything is decided, say carrier officials.

The pressure to self-regulate consumer-oriented issues such as uniform billing,
service quality and service coverage is increasing. House Commerce Committee
Chairman W.J. 'Billy' Tauzin, R-La., warned CTIA attendees in his CTIA Wireless
2003 keynote address that if wireless carriers don't act on increasing complaints
from consumers about dropped calls, unclear billing and the like, state regulators,
possibly even federal regulators, would step in with regulations that would address
the issues.

Such regulatory issues are already under way in California. The state's public
utilities commission is currently tweaking a 'consumer bill of rights' rule that would
impose new disclosure requirements on carrier billing and service terms.

Other regulatory efforts also are under way. Sen. Charles Schumer, D-N.Y.,
introduced a bill last month that would set up similar rules nationally. Although the
bill hasn't moved anywhere in Congress, it has gotten widespread national
attention and was supported heavily by consumer groups like Consumer's Union
and others.

Even though new laws seeking to clarify rules for consumers seem imminent,
carriers are wary about going ahead with imposing voluntary uniform codes of
billing and service quality that would, they say, force top tier carriers to give up
what they see as competitive edge.

Publicly, carrier officials support at least the idea of a voluntary code of conduct for
carriers. 'We're watching the code of conduct' efforts at CTIA, says Francis Malnati,
executive director of regulatory matters at Verizon Wireless. 'It's an emerging
issue for us. It's not something that can be rushed out.'

Privately, however, some carrier officials say such codes by their nature would
result in a lowest common denominator service and could wind up watering down
their best competitive advantage-good service and wide coverage. 'It doesn't
mean we won't talk,' says one carrier official, but those talks will have to take
some time to consider how not to water down competitive capital in networks and
services, he says.

http://www.modbee.com/24hour/technology/story/814667p-5779573c.html

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