MCMC Issues Final Warning To TM About Misleading Ad



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The MCMC has issued a final warning letter to TM about its misleading upload speed for its Unifi 500Mbps plan. It advises TM to adhere to Section 1.2 of the General Consumer Code (GCC) which requires service providers to provide sufficient, accurate, true, up-to-date information in simple and direct language.

As MCMC mentioned earlier, they have found several items that infringed on consumer rights when the upload speed of the 500Mbps Unifi fiber plan was quietly changed from 200Mbps to 100Mbps. The new plans were revealed on August 24, 2020 and TM insists the 200Mbps upload speed was a “bug”. TM has made the necessary changes to its Unifi portal, FAQ and brochure on September 2, 2020.

Left: original 500 Mbps plan, right: revised 500 Mbps plan

The commission had told TM to make the necessary corrections to the 500Mbps plan on all channels and to communicate directly with affected customers. They also urge TM to conduct its business ethically by ensuring that all advertising and promotional materials are accurate. TM is also reminded to ensure that all of its customers enjoy the quality services as advertised and to inform them of any issues that may affect their experience.

The commission will ensure that the rights of consumers affected by deceptive advertised upload speed are handled fairly by TM. Failure to do so will result in further action under Section 242 of the Communications and Multimedia Act (CMA) of 1998 carrying a penalty of not more than RM100,000 or a jail sentence of not more than 2 years, or both. .

The MCMC has expressed great concern about weak internal controls within TM that resulted in the confusion of its Unifi fiber broadband plans. They hope this incident will serve as a reminder to all service providers to ensure the importance of upholding consumer rights in their business practices.

TM announced earlier this week that affected new Unifi 500Mbps subscribers can cancel their subscription without penalty under its 30-day “Try Me” campaign. In the meantime, current Unifi customers who have recently switched to the 500 Mbps plan will be able to revert to their original plan at no additional charge.

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