They are blaming ofcom, of course, for being unable to continue offering 0870 numbers except in a few limited ways.
service.update@flextel.com to me 20:49
As you may be aware, proposals made last week by Ofcom will effectively close our 0870 service from 1st August 2009.
We know that Ofcom have massively underestimated the cost that this closure will have on the many small businesses that rely on 0870 numbers. However, you still have an opportunity to warn Ofcom of their mistake, by responding to their consultation, outlined below.
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The Ofcom Statement
Last week Ofcom suddenly issued a revised statement, delayed for over a year, on the future of the 0870 service, giving users only 3 months notice:
http://www.ofcom.org.uk/consult/condocs/0870calls/0870statement/Ofcom also published consultation proposals deciding the new rates for 0870:
http://www.ofcom.org.uk/consult/condocs/resolve0870calls/The proposed below-cost rates imposed on FleXtel by Ofcom, appear to slavishly support BT, in its well publicised attempt to destroy the 0870 market:
http://business.scotsman.com/business/BT-calls-on-Ofcom-to.2642029.jpThe 184 page statement (and 108 page consultation) do not make easy reading to the general public, nor do they clearly highlight what the implications of their proposals will be to businesses using these numbers. However, once you have waded through the spin and jargon, it becomes clear that Ofcom is proposing rates to the industry that are below cost (i.e. loss making) to all but the few largest operators, like BT. (Ofcom have used an antiquated model, seeded by BT, in their cost calculations and have not factored in the cost of international call extension and the loss of EU and international trading).
Despite the damage done to FleXtel and other small operators, mobile operators will still be free to charge what they like for 0870 calls, so consumers will still be unprotected from rip-off 0870 charging.
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But what does all this mean to you?
The Ofcom decision means that on 1st August:
* The 0870 service cannot continue in its present format.
* 0870 calls can no longer be extended to UK destinations, Ireland, US or to the many EU countries that are currently supported. In simple terms the 0870 service, as you know it, will be closed.
* It is not clear whether porting 0870 numbers is feasible under the new rates.
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What can FleXtel do to help?
* FleXtel will continue to allow 0870 calls to the FleXtel voicemail and faxmail services.
* FleXtel will provide a free Change Number Announcement to allow migration over to alternative FleXtel numbers.
(A scheme to provide customers with alternative desirable or personalised numbers is being developed).
* FleXtel is working to enable 0870 to VoIP(SIP) destinations, by the Ofcom imposed deadline. This may help some hi-tech customers to continue to use 0870 in a limited manner.
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Responding to Ofcom
Ofcom have proposed these changes must happen by 1st August 2009. However, the closing date for responses to the consultation is next Thursday, 7th May 2009.
Details of how to respond are available at:
http://www.ofcom.org.uk/consult/condocs/resolve0870calls/howtorespond/It is FleXtel's view that it is definitely beneficial for you to respond to the consultation and make Ofcom aware of how these proposals will affect your business, especially in these particularly challenging times.
Remember, it is only a few months since common sense lobbying by FleXtel customers successfully forced Ofcom to rethink proposals for the closure of the 070 service. Last year Ofcom also had its knuckles rapped by the Competition Appeal Tribunal, and it is likely that a similar appeal may be made against this ill advised and wholly unnecessary intervention. However we have no choice but to plan for closure now.
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Engaging with Ofcom
FleXtel has been actively engaged with Ofcom for a number of years and will continue to battle to create a better and fairer marketplace for all. Our philosophy and previous interactions with Ofcom are available at:
http://www.flextel.co.uk/ofcom/You will understand FleXtel is deeply disappointed that Ofcom has refused to listen to our constructive arguments, failed to protect innovation and appears to remain firmly within the shadow of BT.
Finally, thank you all, for your continued support and as always we are keen to hear your suggestions and feedback.
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Kevin Archer
Marketing Manager
ask@flextel.com
Main +44 870 3210 100
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Flextel "close" 0870 (Read 9,803 times)
