Feeds

We're paying too much for mobile calls – official

Competition Commissioner says termination charges need to be cut

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

The Competition Commissioner has told mobile operators they are charging to much for connecting calls from other networks, recommending that prices be capped.

The rebuke comes in a letter from the Commissioner to the UK's four existing mobile operators (Vodafone, Orange, O2 and T-Mobile) concerning termination charges.

Termination charges relate to the fees service providers charge for routing calls from other operators through their networks. They also apply to calls made from landline phones.

The Commissioner, whose letter details his preliminary thoughts on the subject, believes that action to force prices down may be needed because termination charges are not subject to the competitive pressures faced by other parts of the mobile market.

A final report by the Commissioner on termination charges is not expected until next January.

Last year, Oftel proposed that call termination charges should be reduced by 12 per cent less than the rate of inflation for the next four years. Mobile operators objected to the scheme and in January the Competition Commission was asked to adjudicate.

Last month, Orange criticised Oftel intervention in one of the few profitable areas of its business. It warned it might be forced to scale back investment in 3G, which promises high-speed Internet access from mobile phones, if its profits are cut. ®

5 things you didn’t know about cloud backup

More from The Register

next story
UK fuzz want PINCODES on ALL mobile phones
Met Police calls for mandatory passwords on all new mobes
Canadian ISP Shaw falls over with 'routing' sickness
How sure are you of cloud computing now?
Don't call it throttling: Ericsson 'priority' tech gives users their own slice of spectrum
Actually it's a nifty trick - at least you'll pay for what you get
Three floats Jolla in Hong Kong: Says Sailfish is '3rd option'
Network throws hat into ring with Linux-powered handsets
Fifteen zero days found in hacker router comp romp
Four routers rooted in SOHOpelessly Broken challenge
New Sprint CEO says he will lower axe on staff – but prices come first
'Very disruptive' new rates to be revealed next week
PwC says US biz lagging in Internet of Things
Grass is greener in Asia, say the sensors
Ofcom sees RISE OF THE MACHINE-to-machine cell comms
Study spots 9% growth in IoT m2m mobile data connections
O2 vs Vodafone: Mobe firms grab for GCHQ, gov.uk security badge
No, the spooks love US best, say rival firms
Ancient pager tech SMS: It works, it's fab, but wow, get a load of that incoming SPAM
Networks' main issue: they don't know how it works, says expert
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.