Etisalat has stalled the introduction of so-called carrier pre-selection, the system designed to allow competition in the broadband internet and landline telephone markets. In a statement released on Sunday, the Telecommunications Regulatory Authority (TRA) said the company has yet to implement the system, which was mandated by the government last year, and has requested to delay its introduction until 2010. Etisalat could not be reached for comment.
Carrier pre-selection allows customers connected to the Etisalat network to switch their services to its competitor, du. Its introduction is expected to open the door for price-based competition in the broadband internet market, where UAE customers currently pay more than twice the European average. The TRA has long called for the service to be implemented, and said last July that it could be completed by the beginning of this year.
The system requires technical modifications to be made to Etisalat's fixed-line network. The company has began the modifications, and two-thirds of the UAE population are currently served by Etisalat infrastructure capable of carrier pre-selection. But the company stopped implementation of the project last December, and the pre-selection system may now not be available until 2010 due to the "deliberate delay," said Mohamed al Ghanim, the director general of the TRA.
Last week Farid Faraidooni, the executive vice president for commercial operations at du, said competition across the country will be the main catalyst for lower broadband internet prices. He also said it was unclear when the company will be able to offer its services to customers across the UAE, with regulatory moves like carrier pre-selection and network sharing being the main roadblocks. tgara@thenational.ae