Next steps for mobile termination investigation

Next steps for mobile termination investigation

As part of the Commerce Commission’s investigation into mobile termination rates, the Commission has today written to 2degrees, Telecom and Vodafone inviting them to submit final revised undertakings.

2degrees, Telecom and Vodafone can submit final undertakings or indicate the status of their previously submitted undertakings by 5pm on Tuesday 15 December 2009.

To allow time for the Commission to fully consider any revised undertakings that may be submitted, the Commission has informed the Minister that finalisation of its report will occur early in 2010.

The Commission’s letter to parties will be available on the Commission’s website www.comcom.govt.nz under Industry Regulation/Telecommunications/Investigations/Mobile Termination Access Services

There will be no further comment from the Commission at this stage.

Background
Mobile termination prices are the wholesale charges mobile phone companies charge for terminating calls or texts from other fixed or mobile networks. The Commission’s preliminary finding, which is being considered in this investigation, is that mobile termination charges are currently significantly above cost. The Commission’s investigation is looking at the wholesale rates that telecommunications companies charge each other, rather than the price that consumers directly pay for mobile services.

It is for the Minister for Communications and Information Technology to decide whether mobile termination services should be regulated or whether any of Vodafone, Telecom or 2degrees’ undertakings should be accepted following review of the Commission’s recommendation.

ENDS

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