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Group forms to negotiate cell-phone rates for consumers, businesses

SAN FRANCISCO-Cellular-phone users are uniting via the Cellular Telecom Users Alliance Inc., a newly formed organization that plans to negotiate cell-phone rates on behalf of its members.

The group hopes to bargain low rates from carriers in exchange for bringing carriers large amounts of customers at once. “Cellular service providers are spending up to $300 a person in marketing and advertising just to attract and sign up a customer,” explained Patrick Riley, a founder of CTUA. “We will deliver maybe 1 million customers at once in return for a much lower rate.”

CTUA, which was founded by a group of business owners and consumers, also said it plans to represent its members in issues before federal agencies. Consumers can join CTUA at no cost and with no obligations.

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