Telecom giant resists politicians' calls for quick fixes

Chunghwa Telecom yesterday refused to be pinned down on opening up "last-mile" access and reducing short message service (SMS) prices as the People First Party (PFP) legislative caucus tried to put pressure on the company's president.

Chunghwa president and CEO Lu Shyue-ching (呂學錦) said yesterday that the company would finish negotiations with private Internet service providers (ISP) on the liberalization of "last-mile" access before June 1 to allow for more market competition. But Lu did not specify a timetable for any changes.

PFP legislators have been pushing for reductions in SMS fees, but Lu said only that the company would look into the matter.

The PFP caucus invited Lu to a breakfast meeting yesterday to talk about asymmetrical digital signal-line (ADSL) services and other issues.

"If Chunghwa doesn't liberalize last-mile access and instead maintains its monopoly, the other ISPs won't be able to compete in the market, and the fee issue won't be solved," PFP Legislator Liu Wen-hsiung (劉文雄) said.

In response, Lu said, "We are all for liberalization and we are negotiating with the private ISPs. We will come up with a result before June 1."

PFP caucus whip Hsieh Chang-chieh (謝章捷) told Lu that the company had to reduce SMS fees.

"A short message should only cost NT$1, but Chunghwa is charging NT$2 for short messages sent within its network and NT$2.5 for the those sent to other networks. Chunghwa is actually engaged in profiteering," Hsieh said.

"Chunghwa should offer reduced fees for its SMS packages before May 20, and reduce prices officially before June 1, otherwise we may lead the customers in taking to the streets," he said.

But Lu made no undertakings and said only that the company would look further into the issue.