Arcep calls for 20% cut in mobile termination rates from January 2007

21 Sep 2006

The French telecoms regulator Arcep has proposed a 20% cut in wholesale mobile termination rates, effective from 1 January 2007, according to reports on Telecompaper. Under the new plan, the watchdog has maintained the current regime whereby the country’s two largest operators Orange France and SFR – both of which are deemed to have significant market power (SMP) in the mobile sector – are charged differently from the third-placed operator Bouygues Télécom. Arcep has applied a cost of EUR0.075 per minute to Orange and SFR, compared with EUR0.0924 for Bouygues. The new wholesale termination rates are valid for the whole of 2007, after which the regulator says it will be better placed to assess the impact of convergence in the period 2008-2010, helping it move more smoothly towards a more ‘symmetrical’ tariff structure.

France, Arcep, Bouygues Telecom, Orange France, SFR