
He said the regulations were necessary to prevent foreign entities competing against local telecommunication operators in bidding for key spectrum licences, citing national security.
The National Broadcasting and Telecommunications Commission (NBTC) will hold a public hearing on regulations regarding foreign participation in the industry today to consider whether they should be reviewed.
True is the only local telecom operator without a foreign strategic partner. Total Access Communication (DTAC) and Advanced Info Service (AIS) have Norway’s Telenor and Singapore Telecom as strategic partners, respectively.
Last Friday, DTAC filed a complaint with the Central Administrative Court claiming foreign-dominance regulations issued by the now-defunct National Telecommunications Commission were illegal and unconstitutional. The regulations took effect in September. The NBTC has since replaced the NTC in overseeing the telecom and broadcasting industries.
According to CEO John Eddy Abdullah, DTAC believes the regulations restrict competition and do not allow a level playing field, which he said would have long-term negative effects for Thai consumers.
They also contradict Thailand’s international trade commitments and do not support the Kingdom’s ambitions and long-term strategy to attract more foreign investment, he said.
He added that the regulations should not be applicable to concessionaires and existing licensees as they obstruct competition on equal terms, and deny access to international best practices that benefit consumers.
An NBTC source said DTAC believed the regulations might adversely affect its plan to bid for a licence to use the 2.1-gigahertz spectrum to provide cellular broadband service.
The NBTC is expected to auction the new spectrum licences next year.
The regulations have been opposed by many parties on the grounds that they discourage foreign investment in Thailand and might contravene the country’s free-trade commitments to global organisations. Supporters of the regulations believe they are needed to protect telecommunications spectra, which are a precious national resource, and the national interest.
The regulations define foreign dominance as direct and indirect control over a company’s policies and the appointment of directors and high-ranking management.