3GScottishUser
30th March 2006, 09:13 AM
From Ofcom's Mobile Termination Consultation Document:
"Where an MNO with SMP is able to set wholesale mobile termination charges above the competitive level, excessive revenue may be used to compete with other MNOs in the competitive mobile retail markets (as well as perhaps more widely with providers of fixed network services). This competition may take the form of reduced outgoing call or subscription prices subsidised by excessive termination charges, or may even include a direct sharing of excessive termination charges with the called party in the form of credits based on incoming call volumes.
Such offers are likely to increase the attractiveness of the MNO’s retail offers relative to those of other MNOs. For this reason, Ofcom is proposing that:
It is essential that any differences between any controls imposed on different MNOs are based on a clear and unambiguous analysis of costs as, otherwise, Ofcom risks distorting the competitive retail mobile markets."
Expert above from: Section 1.11
http://www.ofcom.org.uk/consult/condocs/mct/summary/mct.pdf
"Where an MNO with SMP is able to set wholesale mobile termination charges above the competitive level, excessive revenue may be used to compete with other MNOs in the competitive mobile retail markets (as well as perhaps more widely with providers of fixed network services). This competition may take the form of reduced outgoing call or subscription prices subsidised by excessive termination charges, or may even include a direct sharing of excessive termination charges with the called party in the form of credits based on incoming call volumes.
Such offers are likely to increase the attractiveness of the MNO’s retail offers relative to those of other MNOs. For this reason, Ofcom is proposing that:
It is essential that any differences between any controls imposed on different MNOs are based on a clear and unambiguous analysis of costs as, otherwise, Ofcom risks distorting the competitive retail mobile markets."
Expert above from: Section 1.11
http://www.ofcom.org.uk/consult/condocs/mct/summary/mct.pdf