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Image header Agence Europe
Europe Daily Bulletin No. 9772
Contents Publication in full By article 21 / 29
GENERAL NEWS / (eu) eu/telecommunications

Mobile Challengers back Commission's MTR proposals

Brussels, 29/10/2008 (Agence Europe) - The mobile telephony operators who make up the Mobile Challengers group support European Commission proposals to reduce the levels of mobile termination rates (MTR) to two euro cents. Just when the incumbent operators have criticised the plans from Viviane Reding, Information Society and Media Commissioner, providing figures to back up their argument that this move will not bring down rates for consumers, but will create uncertainty that could be harmful to the market (see EUROPE 9739), their competitors in the Mobile Challengers group, have repeated their support for the Commission, but added a number of comments. They say that: 1) the Commission proposals should clearly be geared to the benefit of customers and promote fair competition; 2) the Commission and national regulators need urgently to deal with the anti-competitive effects of current MTR; 3) the Commission proposal should also allow sufficient flexibility to deal with local anti-competitive conditions. Mobile Challengers say that, in the short term, the proposal maintains and, in some cases, increases existing competitive distortions, for example by maintaining the very large subsidies paid by smaller operators to incumbents. The Commission must consider these points when adopting its recommendation, which is due at the end of the year. (I.L./transl.rt)

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