UK mobile operators Vodafone and Everything Everywhere have challenged telecom regulator Ofcom’s plans to cut mobile termination rates (MTR) by 80%.
O2 has said it will support the move by its two rivals, since it too disagrees with the March MTR…
UK mobile operators Vodafone and Everything Everywhere have challenged telecom regulator Ofcom’s plans to cut mobile termination rates (MTR) by 80%.
O2 has said it will support the move by its two rivals, since it too disagrees with the March MTR decision. The operators argue that Ofcom’s calculations, presented to the Competition Appeal Tribunal, were carried out using flawed cost methodology. Meanwhile, 3, the country’s fourth largest operator, has launched a separate appeal on the basis that MTR should be cut further. This is because as the smallest operator, it pays more in wholesale charges than it receives.
TelecomFinance reported in April that the three leading operators were considering how to launch legal action against Ofcom’s plan to slash MTR from 4.3p per minute to 2.66p per minute on 1 April 2011, and to 0.69p per minute by 2014.
At the time, 3 welcomed Ofcom’s ruling, saying it would be better for consumers.
The group, together with BT, backed a campaign group called ‘Terminate the Rate’, which had lobbied to reduce the fee.