Title
NTC rules on mobile internet access charges
Law
Ntc Memorandum Order No. 01-02-2011
Decision Date
Feb 18, 2011
The National Telecommunications Commission mandates smartphone dealers and service providers to inform users about internet access settings and associated charges, ensuring consumer protection and preventing billing issues for mobile phone users.

Legal basis and related authorities

  • The Order is issued pursuant to Republic Act No. 7925 (RA7925), mandating the promotion and protection of consumers’ welfare and interest.
  • The Order is issued pursuant to Executive Order (EO) No. 546 (s. 1979).
  • The Order governs mobile internet access charges and user protections under these mandates.

Policy and purpose statement

  • The Order is designed to protect mobile phone users from billing problems caused by convenient smartphone internet access.
  • The Order promotes and protects the welfare and interest of mobile phone users by regulating how charges and capabilities are communicated.

Covered conduct: smartphones and mobile internet

  • Retailers and dealers of smartphones (including iPhones and Blackberry phones) must inform buyers of smartphone settings, capabilities, and internet access charges.
  • Mobile phone service providers must implement subscriber/user safeguards related to charges, consent to access, reminders, and roaming-related notice.
  • The Order addresses charges for accessing the internet through mobile phones and associated subscriber/user information duties.

Mandatory dealer and retail information duty

  • Dealers/retailers must inform buyers of smartphone settings and capabilities, specifically the settings on internet access and the charges for internet access.
  • Dealers/retailers must provide this information to buyers at the time of sale and/or onboarding consistent with the buyer’s request.
  • Upon the request of buyers, internet access on the smartphone must be disabled.

Mandatory mobile service provider requirements

  • Mobile phone service providers must inform subscribers/users that there are charges for accessing the internet using their mobile phones.
  • Mobile phone service providers must send a notice to subscribers/users attempting to access the internet through their mobile phones that internet access shall be charged an amount per hour or per volume.
  • The subscriber/user must be given the option not to use the service after being notified of the charges.
  • Mobile phone service providers must provide internet access service only to subscribers/users who opted to avail of such service.
  • Mobile phone service providers must send reminders to subscribers/users who have consumed at least 50% of the credit limit through text messages.
  • Mobile phone service providers must send text messages to subscribers/users who have availed of roaming services informing them to access their websites for information on applicable service rates and roaming charges.
  • Mobile phone service providers must send the roaming information text message right after the subscribers/users are acknowledged by the roaming partner.
  • Mobile phone service providers must conduct an information drive on the capabilities of smartphones and on the responsibilities of their respective subscribers/users on use of such smartphones.

Enforcement and administrative consequences

  • The Commission directs that appropriate administrative cases be filed against retailers/dealers and mobile phone service providers for failure to comply with the Order.

Repeal of inconsistent rules and effect of conflict

  • Any circular, order, memoranda, or parts thereof inconsistent with the Order are deemed repealed or amended accordingly.

Analyze Cases Smarter, Faster
Jur helps you analyze cases smarter to comprehend faster, building context before diving into full texts. AI-powered analysis, always verify critical details.