Prime Minister, Gaston Browne accused Telecoms Companies, Flow and Digicel of “raping” the people of Antigua & Barbuda.
According to the Prime Minister, it takes about 20 million US dollars of investment to harness subsea cable for broadband services between islands of Antigua and Barbuda.
He said with profits of about 8 million US dollars annually the telecom companies can get a payback within three years.
“What we found out in the case of Digicel and Flow, they are presently selling to APUA that broadband service at a mark up and this is wholesale you know… a mark up of about 600%”, he revealed; calling it exploitative.
“That is just rape. Raping the people of Antigua & Barbuda”, the Prime Minister said on Pointe FM.
“APUA on the other hand is selling that same service that they’re buying from Flow and Digicel to their customers for $75 half the price that Flow and Digicel selling to their customers, he added.
The Prime Minister said Flow and Digicel probably has a profit margin of about $1000% on their retail prices.
He said the model is exploitative and his administration will not sit back and allow it to continue.
He said the government is investing 30 million dollars to acquire subsea cables for APUA.