Media Release

Thursday 21 August 2003
What’s next for Internet dialler services?

Internet dumping complaints from dial-up internet users are up for the fourth quarter in a row according to statistics published by the Telecommunications Industry Ombudsman today.

In three months from 1 April to 30 June 2003, the TIO received 1,039 dumping complaints, up from 921 in the previous quarter. The vast majority of these complaints, 1,021, concerned dumping to 190 numbers.

Dumping occurs when a person visiting an Internet site has their regular dial-up connection disconnected and then reconnected to an international or 190 (premium rate) number. Users must generally download software to enable this to occur, but they can do this very simply by clicking on an icon or radio button on the screen.

Many users are unaware they have been dumped until they get their telephone account containing unusually high charges for premium rate or international calls.

Telstra is currently the only telecommunications carrier providing 190 carriage services. In February, Telstra informed 190 content providers who supply services via an internet dialler, that it planned to exit this market at the end of August.

Deputy Ombudsman, Vic Marles, said the TIO was concerned about the high number of dumping complaints under the present system but said Telstra’s decision to cease providing these services could have other potential consequences for consumers.

“Content providers will now have to decide upon an alternative mechanism for the provision of these services,” Ms Marles said.

“It’s possible that another provider will commence carriage of these services. In which case the status quo will be preserved.

“Alternatively, content providers will be forced to find other ways to make their services available to internet users.

“We would be very worried indeed if they decided to shift their businesses offshore. This would mean that the same services would be available to consumers, but from 0011 numbers rather than 190 numbers. It would also mean that the services would be free from Australian regulation.”

Ms Marles said the TIO received relatively few complaints about dumping to international numbers but she predicted an increase in these complaint numbers if these businesses moved offshore.

“Clearly there is consumer demand for these services,” she said.

TIO’s quarterly complaint statistics
The TIO’s quarterly complaint statistics released today report that a total of 13,779 complaints were lodged in the June 2003 quarter – a 4.3% decrease on the March quarter.

• Issue Summary 1 Apr 03 - 30 Jun 03
• Complaints Against TIO Members BY ISSUE (Excel 26KB)
• Complaints against TIO Members BY LEVEL (Excel 19KB)

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