Vodafone warns against over-regulation

23 Aug 2004

Vodafone New Zealand has said that it may be forced to delay investments in its third-generation (3G) mobile network if the government pushes ahead with plans to regulate termination charges between service providers. The country’s largest cellco fears its rollout and investment plans will be jeapordised if the authorities decide to start regulating the amount Vodafone and Telecom New Zealand pay for terminating each other’s calls on their respective networks. Vodafone New Zealand’s finance director said recently ‘at a time when Vodafone is investing heavily in the New Zealand market place…the regulator is potentially in a position to dictate the pace of investment and introduce significantly more risk for an operator like Vodafone’. Telecoms Commissioner Douglas Webb is due to make a ruling on the matter in November.

New Zealand, Spark, Vodafone New Zealand