Comcom goes down on 0867

Telecom vindicated in High Court case

A High Court ruling in a case dating back to 1999 has found that Telecom did not contravene the Commerce Act when it introduced its controversial 0867 package.

Telecom launched 0867 in June 1999, redefining how internet connections were made and taking other ISPs by surprise. ISPs were sent a letter outlining the new system. 0867 allowed Telecom to re-direct traffic through its network in a more manageable manner, according to Telecom. Calls made to an 0867-prefixed number would be picked up on arrival at the exchange and then routed directly to the ISP. The Commerce Commission took a case against Telecom alleging it contravened section 36 of the Commerce Act 1986, when it introduced its package.

However, the court today found Telecom did not use its dominant position in the market for fixed line retail telephone services or have an anti-competitive purpose when it introduced 0867 .

The Commerce Commission says it is reviewing the decision to decide whether an appeal is appropriate and has "no further comment" at the this stage.

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Tags telecomCommerce CommissionNetworking & Telecomms ID0867

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