Significant Market Power

Significant market power (SMP) is the regulatory status representing a dominant position in a given market. It describes the licensee who enjoys a position of economic strength that permits that licensee to behave in a manner appreciably independent of competitors, consumers and subscribers, such that it enables excessive pricing and anticompetitive behaviour. URCA therefore places certain obligations on these SMP operators in furtherance of URCA’s mandate to promote fair and sustainable competition.

In April 2010, following a consultation exercise that began in September 2009, URCA published its first decision on “Obligations imposed on Operators with Significant Market Power (SMP)”. Since that time URCA has followed up this decision with additional measures related to SMP

SMP Operators

SMP Operators can be divided into two categories – wholesale and retail.

Retail SMP Operators

At the retail level, URCA has designated the following licensees SMP in the provision of one or more of the following:

  • Cable Bahamas Limited in the provision of:
    • Retail fixed broadband services in New Providence, Grand Bahama, Abaco and Eleuthera (Geographic Market 1)
    • PayTV in all Geographic Markets
  • Bahamas Telecommunications Company Ltd. in the provision of:
    • Retail fixed broadband services in all remaining islands (Geographic Market 2)

There is no SMP provider of retail business data and connectivity services.

Wholesale SMP Operators

At the wholesale level, URCA has designated the following licensees SMP in the provision of one or more of the following:

  • Bahamas Telecommunications Company Ltd.  in the provision of:
    • Call transit, fixed call termination services, entry into directory enquiries database and ancillary services, and enabling products (e.g., joining circuits and points of interconnection);
    • mobile access and call origination services;
    • mobile call and SMS termination services;
  • Be Aliv Limited in the provision of mobile call and SMS termination services;
  • Cable Bahamas Ltd. in the provision of fixed call termination services:
  • IP Solutions International Ltd. in the provision of fixed call termination services;
  • Cable Bahamas Ltd. in the provision of fixed broadband services in Geographic Market 1; and
  • Bahamas Telecommunications Company Ltd. in the provision of fixed broadband services in Geographic Market 2