03 December 2006

EU - Commission asks UK regulator not to include 3G auction costs in mobile phone termination rates

In a letter sent to the Office of Communications ('Ofcom', the UK telecom watchdog), the European Commission expresses concerns as to how wholesale tariffs, charged by the five UK mobile operators for terminating calls to their customers, have been assessed. In the Commission?s view, Ofcom's proposed tariffs keep termination values higher than necessary due to 3G spectrum cost valuations which risk overestimating the costs.