Dave Archbold ICTA Managing Director

By Tad Stoner
tad@caymannetnews.com

After years of struggle, Government has approved telephone-number portability, ordering all telephone operators to start service by 30 June next year.

The 18 December decision by the Information and Communications Technology Authority (ICTA) was quietly posted to the organisation’s website, but no announcement has been made.

“It was the Christmas break and we wanted to give the licensees a little time to absorb it,” said ICTA Managing Director Dave Archbold, who said the development promised to deliver multiple benefits to the Cayman Islands. “I believe this is a good thing because it increases competition, reduces costs and gives greater choice to individuals,” he said.

Number portability is a system whereby anyone who uses a mobile telephone can leave the company that provides their service, move to a new company, yet retain – or “transport” – their telephone number, keeping it for as long as they wish.

The system has been credited globally with sparking improvements among telecommunications companies as they vie for market share in service, innovation and pricing.

While internationally commonplace, the system has long been argued locally, largely based on the costs of implementing modestly sophisticated technology in an area with a limited customer base.

The ICTA has led number portability consultations since at least 2005, finding largely favourable responses among the public – frequently frustrated by poor service and high charges – and mixed reactions amongst telecommunications operators.

Cable & Wireless, now LIME, has historically been opposed to portability; Digicel, initially in favour of the system, appeared recently to change its mind, based, it said, on changing costs of technology; while smaller operators, eager to gain a foothold in an intensely competitive market, largely embraced the system.

The divisions appear to remain.

“We’re extremely happy,” said Andy Tybell, Business consultant to TeleCayman. ”We were among the few that supported it. It means choice and it means economic freedom to the customer.”

Despite looming costs of implementation, Mr Tybell pointed out that portability was globally accepted: “I really don’t think it’s particularly daunting. We’ll have to see, but if it doesn’t go smoothly, well, I guess that’s when the ICTA will get involved again.”

The organisation’s 18-page decision paper left decisions about particular technologies and costs to the operators, ordering them to submit a collective plan by 29 May, detailing costs and schedules.
By the end of June, the paper said, the ICTA would verify the proposals, beginning the yearlong run-up to the 30 June 2010 launch of service.

Victor Corchoran, Acting CEO of Digicel, said only that the company was “committed to providing the best levels of service and value” to customers, and was concerned if “portability justifies the costs.
“We have read the regulators deliberations and we are studying it to find the best ways to work with the others,” he said.

Like Mr Tybell, Mr Corchoran said costs were difficult to predict because operators had not selected among technologies and their implications for the tiny Cayman market.

LIME did not respond to questions by press time.

The ICTA has limited potential charges to consumers of a $10 fee for the initial “port”, and an 80¢ per line, per subscriber monthly fee to defray costs, although companies are not obliged to charge.
Other expenses could involve creation of a database, acquisition of new software and hardware, and possible staff training.

“There are various models and you have to work out which one you are going to use,” Mr Tybell said. “We have a lot of work to do between now and 29 May.”