Feeds

Mobile operators giveth and taketh away

Tourists to shoulder the cost of EU roaming cuts

Internet Security Threat Report 2014

In much the same way as some firms try to pass on savings to customers, mobile phone networks look set to pass extra costs on to certain consumers.

A study by Informa Telecoms & Media, entitled Global Mobile Roaming: Business Models and Forecasts in the Evolving Environment, has found roaming price levels for non-Europeans travelling in the EU are likely to rise following the European Parliament's approval of new retail price controls on Thursday.

The Parliament's Industry Committee in Brussels voted by a majority of 45-to-3 to set compulsory price limits on roaming and the decision could result in roaming charges being reduced by up to 70 per cent.

Informa said several mobile operators had told the research firm they will increase the wholesale prices they charge non-European operators whose customers roam onto their networks to compensate for the loss of revenues resulting from the new European price caps.

"Some of the highest wholesale prices are levied by operators in developing markets for whom inbound roaming is a key source of income," said Mark Newman, co-author of the report. "In India, for example, wholesale roaming prices are up to 30-times more expensive than the retail price that Indian operators charge their own customers for making the same call."

Informa said with lower revenues expected from their EU roaming business, operators in Europe would raise the level of wholesale roaming charges they impose on non-European operators. These in turn would be passed on to non-EU customers of these firms while roaming in Europe.

Kate Fitzgerald, chair of the Irish branch of the US Democrats Abroad, told ENN that the move could have a negative impact on American tourists visiting Ireland. "It won't affect those [Americans] who are resident here as they tend to own Irish mobiles but it will certainly have an impact on their families when they visit, and on business people coming to Ireland, however the extent of this is unclear," said Fitzgerald.

Despite the extra roaming costs, Fitzgerald said there are other options available to tourists. "On the bright side there are so many alternatives to using mobile phones now, such as using Skype or email, that it will be possible to get around it," she said.

Copyright © 2007, ENN

Internet Security Threat Report 2014

More from The Register

next story
Download alert: Nearly ALL top 100 Android, iOS paid apps hacked
Attack of the Clones? Yeah, but much, much scarier – report
Broadband sellers in the UK are UP TO no good, says Which?
Speedy network claims only apply to 10% of customers
Virgin Media struck dumb by NATIONWIDE packet loss balls-up
Turning it off and on again fixes glitch 12 HOURS LATER
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Fujitsu CTO: We'll be 3D-printing tech execs in 15 years
Fleshy techie disses network neutrality, helmet-less motorcyclists
Facebook, working on Facebook at Work, works on Facebook. At Work
You don't want your cat or drunk pics at the office
Soz, web devs: Google snatches its Wallet off the table
Killing off web service in 3 months... but app-happy bonkers are fine
prev story

Whitepapers

Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
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.
Protecting users from Firesheep and other Sidejacking attacks with SSL
Discussing the vulnerabilities inherent in Wi-Fi networks, and how using TLS/SSL for your entire site will assure security.