Globe moves to eliminate ‘bill shock’ among users

Local telecom companies are pulling out all the stops as they launch the new Apple iPhone in the country, competing to offer the best postpaid phone plans to attract more subscribers.

Ayala-led Globe Telecom Inc. on Friday said it has capped the data usage charges for all of its postpaid subscribers at P999 a month in a move to eliminate “bill shock” among users not accustomed to the features of Internet-enabled devices.

This means that all Globe postpaid users can now access the Internet as much as they want without worrying about their monthly bills getting out of control.

“What this means is that there will be no more bill shock ever again,” said Peter Bithos, head of Globe’s consumer business division. Bithos said subscribers no longer have to subscribe to any promo or special service to enjoy the new feature, which will be available on all Globe postpaid plans.

“Bill shock” usually occurs when a smart phone’s Internet applications are unknowingly left running, driving up monthly fees for users.

Globe said this has caused the impression among users that smart phones were too expensive to own and use on a regular basis. The new cap on data charges aimed to remove this perception.

“You can’t enjoy smart phones without data connection. These devices need constant connection to the Internet, and that’s what we want to provide,” Globe president and CEO Ernest Cu said.

“What we are after is to improve customer experience. This is the right time for this kind of service. The devices are ready, our network is ready and consumers want it,” he said.

The company’s announcement was made the same day it launched the new iPhone 4S in the country. Globe has previously been the sole provider of iPhones in the Philippines. But this exclusivity contract with Silicon Valley-based Apple Inc. lapsed earlier this year.

Globe’s chief rival Smart Communications Inc. also launched the new iPhone on Friday. The company is selling the iPhone in the country for the first time.

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