Media Release
Wednesday 2 September, 2009

Family and youth advocates concerned about potential mobile price rises

AUCKLAND, New Zealand — Parents Inc. and Youthline today spoke out on behalf of families and young people, with concerns that the Commerce Commission’s proposed mobile phone regulation may have a negative impact.

The organisations’ key worry is that New Zealanders will have to pay to receive mobile calls and text messages if mobile termination rates are regulated. The Commerce Commission will discuss the topic at a conference today.

Parents Inc. CEO Bruce Pilbrow says paying to receive calls and text messages will prevent many families from keeping in touch, and consequently, from keeping children safe.

“Technology is used by many families in a very positive way. For example, young people use their mobiles to keep in touch with their parents, no matter what. If there are additional fees imposed on families and young people for making and receiving phone calls and texts, this will have a negative impact on the way many families communicate. I am concerned about anything that stands in the way of building stronger families.”

Many families use calling circles (such as Vodafone Family and Telecom Favourites) to keep in touch while keeping the price low. Some of the changes the Commerce Commission is considering would ban these sorts of bundled deals, and dramatically increase prices for families.

“This would impact our most vulnerable and those who can least afford additional costs. In this economic climate we should be looking at how we can keep prices low rather than imposing extra fees on families,” says Pilbrow.

Both Parents Inc. and Youthline are concerned about the other unintended consequences of regulation, such as the potential for an increase in text spam and text bullying. When a service is very cheap or free, it increases the risk of abuse.

Pilbrow says, “One of the issues with young people and parents is that the technology is growing so fast we have not had time to put boundaries around it. Parents struggle with it, and when spam and other areas of abuse are factored in, the issues for parents increase immensely.”

Youthline CEO Stephen Bell is particularly concerned about text bullying. “The mobile is such a personal communications device, and teenagers in particular rush to read and respond to a text message as soon as they hear the phone beep. Texts can easily be anonymous, which emboldens bullies and intimidates victims. Anything that makes it easier for bullies is of grave concern and we should take it very seriously.”

Parents Inc. and Youthline are asking the Commerce Commission to think about the unintended consequences of regulation on families and young people when making recommendations to the government.

ENDS

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