Gatchalian bill to ban network locking by telcos

Sen. Sherwin Gatchalian (File photo by RICHARD A. REYES / Philippine Daily Inquirer)

Network locking in mobile devices not only deprives mobile subscribers from easy movement to other networks, but also limits competition among industry players, Senator Sherwin Gatchalian said on Sunday.

Gatchalian, who chairs the Senate committee on economic affairs, stressed that mobile telecommunications companies should not lock their mobile devices to their respective networks, whether sold as a unit or under a service contract.

“Every mobile user should have the right to switch to other service providers that offer better deals. Unfortunately, the locking of devices prejudices this right,” Gatchalian said in a statement on Sunday.

“The Network Freedom Act will ensure that the consumer’s right to choose the best service available on the market is protected,” he added.

Last Jan. 9, the senator filed Senate Bill No. 1643, also known as “Network Freedom Act”, a measure which prohibits network locking. The bill had been pending at the trade, commerce and entrepreneurship panel since Jan. 15.

Typically, the mobile communications service contract between the service provider and the mobile user contains a “lock-in provision” which requires the latter to exclusively maintain a monthly postpaid subscription with that telco company on the device, Gatchalian explained.

“Therefore, a Globe-locked phone cannot be used with a Smart SIM, and vice versa,” he added.

The senator had also filed Senate Bill No. 1636, the Lifetime Cellphone Number Act, which would allow mobile consumers to retain their phone number when switching to another service providers.

“The prohibition against phone locking will eliminate one of the everyday stumbling blocks to the effective implementation and realization of the desired impacts of mobile number portability instituted by the Lifetime Cellphone Number Act,” he said.

“The passage of these two bills would be a big win for mobile consumers because it would spark real competition within the telco sector and result in better service across-the-board,” he added. /cbb