CALLBACK OPERATORS

Mr Chng Hee Kok asked the Minister for Communications and Information Technology if he will state the rationale for restricting callback operators from advertising their products in certain media.

Mr Yeo Cheow Tong: Callback services provide healthy competition in the international telecommunications market to the IDD services and bring about greater consumer choice. However, it is necessary to place some form of restrictions on the callback operators because of SingTel's exclusive rights to provide IDD services up to 31st March 2000 and the moratorium period granted to StarHub from 1st April 2000 to 1st April 2002 when it was awarded its telecoms licence. In a recent clarification, the Info-communications Development Authority of Singapore, or IDA, had explained that the only restriction on callback operators is that they cannot advertise on the local mass media, which covers the local newspapers, radio and television. IDA will be reviewing the restriction once the moratorium period expires by 1st April 2002.