● has more than a 25% market share in terms of customers or revenues. 

We have been declared by the former competent authority Ministry of Transportation and Communications as a dominant Type I service provider for fixed line and mobile services. 

Under the Telecommunications Act, a dominant Type I service provider must not engage in the following activities: 

● directly or indirectly hinder a request for interconnection with its proprietary technology by other Type I service providers; 

● refuse to release to other Type I service providers the calculation methods of its interconnection fees and other relevant materials; 

● improperly determine, maintain or change its tariffs or means of services; 

● reject, without due cause, a request for leasing network components by other Type I service providers; 

● reject, without due cause, a request for leasing lines by other service providers or customers; 

● reject, without due cause, a request for negotiation or testing by other service providers or customers; 

● reject, without due cause, a request for negotiation for co-location by other service providers; 

● discriminate, without due cause, against other service providers or customers; or 

● abuse its position as a dominant provider, or engage in other unfair competition activities as determined by the regulatory authorities. 

In addition, a dominant Type I service provider is subject to special regulations limiting its tariff changes. 

## Tariff Control and Price Cap Regulation 

In order to promote competition in the telecommunications market, and as part of the government’s overall policy toward deregulation, the Telecommunications Act was amended in 1999 to abolish the former rate of return system on tariff setting in favor of price cap regulation of Type I services. 

Under the Regulations Governing Tariffs of Type I Service Providers, a dominant Type I service provider must submit its proposed adjustment in primary tariffs and promotional packages to the National Communications Commission from for approval at least 14 days prior to the date of the proposed tariff changes and announce such change on media, website and business locations on the next day after the National Communications Commission grants the approval. The tariff change will come into effect seven days after the announcement. 

Primary tariffs include: 

● for fixed line local telephone services: monthly fees, usage fees, monthly rental fees of leased lines and pay telephone usage fees; 

● for fixed line domestic long distance telephone services: usage fees and monthly rental fees of leased lines; 

