There are reports that the Australian Competition and Consumer Commission wants to ban Singapore Telecommunications Ltd
(ASX:SGT) Australian arm, Optus, from using the word ‘unlimited’ in any of its marketing campaigns.
According to a report in The Age newspaper, the ACCC is seeking injunctions to stop Optus using the word ‘unlimited’ when advertising prepaid mobile, home phone and broadband plans, believing it to be misleading to customers.
The paper says the consumer watchdog also wants to put a stop to Optus using phrases like “connect without limits” and “it really is unlimited”.
The Age reports that Optus feels differently about the use of the word and says that its advertising clearly stated that the unlimited plans have conditions and are not misleading.
However, the chief executive of the Australian Communications Consumer Action Network, Allan Asher, said the application was insufficient.
According to The Age, CEO of the Australian Communications Consumer Action Network, Allan Asher, says the ACCC’s application is insufficient and should really seek compensation for any customers mislead by Optus’ advertising campaigns.
Singtel’s profit for the year to March 30, 2010 was $3.04 billion, slightly down on the year before.
