Globe wants the NTC to fine DITO PHP 622 million

Globe has requested that the National Telecommunications Commission (NTC) order DITO Telecommunity to pay PHP 622 million in interconnect penalties.

The penalties, according to Globe, were caused by fraudulent calls made to Globe through the DITO network, obviating the need for legitimate voice traffic channels. Due to DITO’s failure to compensate Globe, the penalty, which runs from July 2021 to July 2022, has grown significantly.

Every day, 1,000 fraudulent calls with foreign origins that were disguised as local calls were permitted to pass through DITO’s network to users of Globe, in breach of interconnect restrictions, according to Globe. In contrast, Globe claimed that because of its extensive network protection from unlawful calls and advanced monitoring systems, absolutely no bypass traffic has been permitted to travel from Globe to DITO.

According to Globe, allegations of fraudulent calls are still being made and received over the network of DITO.

As long as DITO hasn’t “taken positive and tangible efforts to stop all unlawful bypass operations emerging from its network” and paid all outstanding liabilities to Globe for fraudulent calls, Globe has asked the NTC to approve the temporary suspension of interconnection trunk lines with DITO.

Despite DITO’s assurances that it has improved its Fraud Management System’s ability to stop illicit calls, Globe noted that fraudulent traffic has continued to climb.

“Clearly, DITO has not only failed to compensate Globe, it also has not taken any serious actions to curtail bypass activities emanating from its network and terminating in Globe’s. Indeed, these bypass activities have not waned but have in fact continuously increased over the said period. DITO’s twin failures to check these bypass activities and pay Globe what it is justly due have worked on a continuing serious prejudice against Globe,” Globe said in its pleading.

“Moreover, these unabated illegal activities have placed the interconnection trunks at serious risk of abuse and the resultant undue congestion of the network, to the detriment of the subscribers,” it said.

Including domestic voice and SMS in November 2020, landline in March 2021, and the Cellular Mobile Telephone Systems International Gateway Facility (CMTS – IGF) in September 2021, Globe said that it had stayed true to its interconnection agreements with DITO.

The agreements provide local voice and text traffic as well as international mobile calls via DITO and Globe’s foreign partners as well as roaming service to travel between users of the two networks.

Innove/Bayan-DITO local landline and mobile connectivity was finished by the parties in May 2022, while Globe-DITO mobile voice and SMS interconnection was finished in April 2021. The Innove/Bayan-DITO IGF interconnection is under construction and is anticipated to be finished this year.

Network interconnect agreements allow for a positive customer experience and promote healthy competition in the telecom industry. The Sustainable Development Goals of the United Nations, which emphasize the importance of infrastructure and innovation as key forces behind economic growth and development, are in line with this enabling.

The action is also a part of the business’s commitment to following National Telecommunications Commission guidelines (NTC).

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