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EU seeks price cuts for data roaming, more competition
Published in Saudi Press Agency on 06 - 07 - 2011

Retailers such as Tesco and Carrefour may soon find it easier to compete with dedicated telecoms network operators under new EU plans to open up Europe's mobile telephony market, Reuters reported.
Structural changes in the market proposed by the European Commission would pave the way for virtual mobile network operators, which do not have their own infrastructure, to piggyback onto other companies' networks thanks to a cap on regulated wholesale prices for roaming services that will fall drastically over a three-year period.
The move would affect the business of integratednetwork operators such as Vodafone , Deutsche Telekom, Telefonica and France Telecom . The wholesale price caps could be lifted from 2018.
The second proposal would enable users travelling abroad to choose a cheaper mobile roaming service from a competing provider, while keeping the phone number of their domestic operator.
"This proposal tackles the root cause of the problem -- the lack of competition on roaming markets -- by giving customers more choice and by giving alternative operators easier access to the roaming market," EU Telecoms Commissioner Neelie Kroes said in a statement as she announced the proposals on Wednesday.
"It would also immediately bring down prices for data roaming, where operators currently enjoy outrageous profit margins," she said.
The proposals will need approval from the European Union'sparliament and the 27 member states. The Commission has set a July 1, 2012 target for the network measure to take effect and July 1, 2014 for the lower roaming deals to come into force.
-- SPA


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