Letters to the Editor
"Cable & Wirelessis Choking this Country..."
Dear Sir,
As the CEO, of SEGOES, Ltd., I feel compelledto respond to the article by William Peguero regarding Cable &Wireless shutting down access to Net2Phone from the Cayman Islands.He is absolutely correct in saying that voice is data when goingover the Internet and the whole world is moving to 'Voice overIP' or Internet Protocol. That means free long distance and theend to the charges for the calls. Cable & Wireless knows thisand will do anything to slow its adoption here in Cayman.
I am a guest of this nation and I love thiscountry and its people. I have read with dismay, each time thatsomeone from another country criticizes the Cayman Islands, itspractices or beliefs.
Those who know me realize that this is notthe case with me. I have worked for the National Trust as a volunteer,worked on the Vision 2008 Committee and have been appointed bygovernment to the E-Business Advisory Board for the country. Iam trying to give back to the country and its people for allowingme to enjoy the beauty of these islands.
Today however, it is time for me to takea stand for something that I believe could be the most crucialmatter facing the Cayman Islands. That issue, is the monopolyof Cable & Wireless over the telecommunications of the nation.
Four years ago, I came here with the beliefthat these islands could become an outstanding location of choicefor e-commerce businesses. There was and still is only one impedimentto the country's success in this arena and it is the cost of telecommunications.
Whether it is telephony or data, wirelessor wired, Cable & Wireless is choking this country and willnever let go until every last penny can be squeezed out of it.And why should they? There is no incentive for them except profit.There is no motivation for them to do anything more than earn,earn, earn. All, at our expense.
Now don't get me wrong. I'm in favor ofearning and succeeding in the marketplace just as much as C&W,only I don't have the benefit of the monopoly. I have to workharder than the next guy if I am going to succeed. I have to givebetter service, faster response times and oh, by the way, lowerprices. None of which they have to do.
There is no one to work harder than in theircase. There is no one to worry about faster responses or betterservice and certainly, no one to give better prices. They don'thave any worries except keeping their money coming and stoppingany chance of competition, regardless of whether or not it isagainst the very contract that provides them their wealth.
I'm not saying that Cable & Wirelessis bad. They are not. They are just milking the monopoly for allits worth. They have invested millions in the Cayman Islands overthe years. But make no mistake they have been more than compensatedfor their investment. It has been repaid hundreds of times overand everyone knows it.
I consider many of the people who work thereto be my friends. But even they know that the time has come toend the monopoly. It is too much strain on everyone here to servetwo masters. One, doing the best job that you can for your companyand at the same time ruining your country and its chance for establishinga new type of business here.
A type of business that should be welcomedby all. Businesses with fewer people but a more expanded globalpresence. Which translates into less traffic on West Bay Road,but more money to government, the finance and legal industries.But no one will come when the rates are 8 - 20 times higher thanthe U.S. depending on the service. I defy anyone to adequatelyexplain why a simple, local 128k ISDN dial service should costUS $39.95 per month in the United States and US$345.75 - nearten times the cost - here in Cayman.
I am the Chairman of I/NET Inc. in the U.S.a publicly traded company which uses Cable & Wireless as itsInternet Service Provider. I/NET pays U.S. $999.00 for T1 accessper month, which is the staple for most Internet sites. Here thesame service costs US$13,750.00 per month - 13 times the costof the U.S. rate - if you agree to sign up for three years service.I believe in a good Christian profit but this is ridiculous.
E-Business is moving so fast that the CaymanIslands is already losing ground in the ability to attract someof the best to locate here. Cable and Wireless even based theirown e-commerce solutions in Bermuda forsaking the Cayman Islands.What does that tell you?
All over the world, countries have providedfor competition as the best way to improve the services to theirpeople and continue to reduce prices to them at the same time.I am not saying that Cable & Wireless should be thrown outwithout thanks. I don't want them to go. I believe that Governmentshould welcome and encourage competition. The members of Governmentknow where the contract could be changed or re-negotiated.
We should no longer the fear that we wouldbe without phone service or Internet access if the contract wereterminated. It just won't happen. There are many businesses thatwould be more than happy to service the Cayman Islands. The Governmentshould do as Bermuda and dozens of other nations have done beforethem and end this monopoly now.
In closing, it is my sincere hope that someonein government hears Mr. Peguero, myself and the thousands of othersthat are just tired of the price gouging and profit taking ofCable & Wireless.
Everyone was in a panic over the OECD and the FATF when they werejust threatening us. Cable and Wireless are the ones that cando the most damage to these Islands if they're allowed to continueunchecked. And don't let C&W dictate the terms of allowingcompetition, which they always attempt to do, as they're aboutto be unseated from their monopoly.
Please help us work together to build theCayman Islands into a place that is less expensive to live andmore livable for all of us.
Yours sincerely,
James C. Knappknapp@segoes.com.ky