Bell, Rogers, Telus and CWTA defend short code program

Canada’s big three wireless operators, along with their industry lobby group, shot back at the Union des consommateurs over allegations that the country’s short code program is charging consumers who don’t subscribe excessive rates. They also oppose any attempts by the CRTC to create a regulatory framework for short codes and billing by wireless carriers. The Canadian Wireless Telecommunications Association (CWTA) tells the CRTC that the allegations raised by the Quebec consumers association are unfounded, a position supported by its largest members, Bell Mobility, Rogers Wireless and Telus Mobility. In the case of premium messages, the industry has adopted a double opt-in mechanism to make consumers aware of the services they are requesting. “The CWTA and its members have developed strict guidelines and processes regarding short code programs because it is in the interest of the CWTA and its members to provide short code message services that customers value and are encouraged to use,” reads the CWTA’s submission. “Specifically, unsolicited messages are not permitted to be sent from short code applications and every short code program must support the use of the command STOP to terminate contact with a subscriber.” Union des consommateurs raised the short code problem with the commission in January after consumers complained to the Quebec consumer advocacy group that they were being charged excessive rates for premium services to which they didn’t subscribe. The group wants the CRTC to intervene to create a framework for short code services and for billing by wireless operators. Complaints were directed at services provided by http://www.skill2thrill.com/, http://www.wixawin.com/ and http://www.text4win.com/, which offer consumers free ringtones or cell phone wallpapers or allow users to take surveys in exchange for the chance of winning a prize. Bell, Rogers and Telus tell the commission that their own internal processes for short codes make it very unlikely a consumer is going to receive messages they didn’t request. They also say the Union des consommateurs is blowing the matter out of proportion and there is no need to create a regulatory framework for short codes. The organization provided four examples in its application, despite there being approximately 20 million wireless subscribers in Canada. TMG Americas Inc., the provider of the Skill2thrill and Wixawin services, says it complies with the short code rules as set out by the CWTA and doesn’t send unsolicited text messages to wireless customers. The company says customers signing up for its services have to first subscribe using their mobile number, but then also have to confirm the subscription by entering a PIN provided to them after registering. “We feel that this staggered registration process, in addition to providing opportunities to consider the service, also greatly assists in the prevention of unauthorized subscriptions,” reads TMG’s submission. “By requiring the registrant to be in physical possession of the handset of the mobile number to be subscribed, we can make certain that the registration is only completed by either the accountholder of the mobile number, or a person whom the accountholder has authorized to use the handset.” In reply comments to the commission, the Union des consommateurs argues that the CWTA, in fact, acknowledges there are problems with the short code program. It points to audits the association conducted, which show there were cases of non-compliance. Three times the CWTA has audited its short code program and while each time shows fewer cases of non-compliance, there still are cases, notes the Quebec consumer advocacy group. Also, despite wireless carriers’ assertions the problem is not widespread, the Union des consommateurs contends it is. The group points to information obtained by Yannick Labelle through a private conversation with a Rogers employee that indicates the company receives 300 complaints per month regarding premium text messages. The Union des consommateurs maintains its reply comments that the CRTC has to intervene to protect consumers’ rights.

Bell, Rogers, Telus and CWTA defend short code program

News | March 23, 2009

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us