08:15 AM

* C

3. W (N. A.

INC.

Note to

Copy DCE/HK Telecom

1

P. BARNSON →

KEITH BARNARD

No D. Gand P. KIRBY

As discussed

CONFIDENTIAL

FCC/IBM

يا عوا

I spoke to Lyn Edinger (Senior Commercial Officer, US Consulate) who offered the following ref the Patrick visit and meetings,

1.

2.

3.

A.

The

Patrick was fired up about C&W before he arrived. Before meeting with C&W he had two briefing sessions with the consulate people, and then a meeting with representatives of American equipment suppliers/representative offices (AT&T?). consulate people explained the regulatory position 'of the monopoly', and the US Company representatives answered Patrick's questions which revolved around the monopoly' and the

'anachronistic colonial situation'. Emphatically IBM was NOT a party to this, nor have our Hong Kong customers been bad mouthing our service or pricing (which is what I was trying to establish).

Lyn implied that the tone of these meetings was one of trying to calm Patrick down.

He was told that telecommunications in Hong Kong are of a high standard, and rates are competitive (1), but that American interests were unhappy with the lack of competitive opportunity. He accepted this..

Patrick's position all the way through was that the FCC had bent over backwards to accommodate Cable and Wireless, who espoused 'market forces' 'level playing field' etc., and that he was astounded and dismayed to find that in 'their own backyard' Cable and Wireless were an arch monopolist.

(.../P. 2)

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