New businesses could enter Bermuda’s electronic communications sector when a freeze on the market ends soon.
Walter Roban, the Minister of Home Affairs, instructed the Regulatory Authority to lift a moratorium on the granting of both Communication Operating Licences and Integrated Communication Operating Licences.
He said yesterday: “This move will ultimately result in the opportunity for new entrants into the Bermuda telecommunications market.
Mr Roban explained that when the RA started its work in 2013 the approval of new ICOLs was suspended.
He said: “The rationale at that time was that there were already about 20 licensees at that point, and more would simply dilute the market even further.
“Over the years, with that moratorium in place, Bermuda has gone from a vibrant and competitive environment to one far less dynamic, and, arguably, less competitive — all through a series of mergers and acquisitions, where the electronic communications market has become an oligopoly, perhaps not serving the public as well as it might.
A RA spokeswoman said: “The RA has begun the process of establishing the framework to apply for and issue new licences to deliver electronic communication services to the Bermuda marketplace.
“Prior to granting the licences, the RA will hold a consultation period from April 5 to April 26 to gain feedback from the public regarding the criteria, conditions, requirements and procedures necessary to receive a COL or ICOL.
Denton Williams, chief executive at the RA, added: “One of the mandates of the RA is to promote and preserve competition in the interest of residents and consumers of Bermuda and to promote the development of the economy, Bermudian employment and Bermudian ownership.