Vodafone, Panafon, CosmOTE get knuckles rapped over rates
Greece’s telecoms regulator told leading mobile operators Vodafone, Panafon and CosmOTE yesterday to fall in line with EU and national guidelines on mobile phone termination rates. The move on termination rates – the charge made by one network for connecting a call from another – is likely to force the companies to restructure their rates or face possible action from the regulator. The National Telecommunications and Posts Commission (EETT) said in a statement that the two operators were «significant market powers» in the Greek market. EETT said that while mobile rates had been falling, the same was not the case for fees charged for calls made from fixed networks to mobile phones, resulting in Greece having the most expensive charges in the European Union, along with Portugal. EETT Chairman Emmanuel Giakoumakis said the commission was not setting any prices but required Panafon and CosmOTE, which is owned by dominant fixed-line operator OTE, to meet three conditions or face possible fines in the future. Both companies have to ensure that termination rates for calls are not differentiated on the basis of whether a call originates from a fixed or mobile network. They will also need to ensure that call termination rates per minute be lower than the lowest retail price for calls between phones on the same network and that discount policies be transparent and not discriminate. Giakoumakis said the measures would come into effect once they are published in the Government Gazette but gave no definite time frame for implementation. According to analysts, fixed to mobile calls account for about 25 percent of service revenues for CosmOTE, and 28 to 30 percent for Panafon. The measures do not apply, for the time being, to third mobile operator Stet Hellas and the owner of Greece’s fourth GSM mobile phone license, Infoquest. CosmOTE had 37 percent of the mobile market at the end of 2001, edging ahead of Panafon with 36.2 percent. Stet brought up the rear with 26.8 percent.(Reuters)
