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Cellular Telephone Users in US join hands for better rates
BY OUR TECHNOLOGY CORRESPONDENT
SAN FRANCISCO, Sept. 25, 2003: Now that cell phone users can change providers without losing their phone numbers, effective November 24, they are organizing to use collective buying power to negotiate better rates.
The Cellular Telephone Users Alliance Inc. (CTUA) will bargain on behalf of its members. Cell phone users can join the alliance at no charge at www.ctua.org .
"Cellular service providers are spending up to $300 a person in marketing and advertising just to attract and sign up a customer," says Patrick Riley, one of the founders of CTUA. "We will deliver maybe a million customers at once in return for a much lower rate."
Prior to the new legislation, cellular telephone users were reluctant to change providers because it would mean having to notify everyone in their personal and business world of their new number, not to mention reprinting business cards, Riley says.
CTUA plans to negotiate with all major cellular providers representing the collective interests of its members. The alliance promises not to use member information for any other purpose.
At the time a CTUA-negotiated rate for the member's area and preferences is announced, members will have the opportunity to take advantage of the rate with no financial obligation unless the member opts to be included in the CTUA-negotiated rate.
In addition, CTUA plans to represent the collective interests of its members in issues before Congress, the FCC and other federal agencies.
"While mobile telephone companies are constantly devising plans to retain current customers by increasing costs to switch carriers and by increasing contract length, our mission is to benefit the consumer by using the negotiating power of a large group," added Riley.
BY OUR TECHNOLOGY CORRESPONDENT |