Fixed line telcos take Telecoms Ministry to court

17 Jul 2003

Five Japanese telcos – KDDI, Japan Telecom, Cable & Wireless IDC, Fusion Communications and Poweredcom – have filed lawsuits at the Tokyo District Court against the country’s Telecoms Ministry. The telcos have taken the Ministry to court over a recent decision to allow dominant carrier NTT to increase the interconnection fees paid by its rivals, claiming that it is going against the principles of deregulation. In April this year the Ministry passed a law allowing NTT to charge new entrants between 5% and 12% for using its lines after traffic volumes fell and the complainants fear that if the decision is not opposed, further steps to protect NTT may follow.