Filipino regulator cuts SMS interconnection rates

3 Nov 2011

The Philippines’ telecoms regulator, the National Telecommunications Commission (NTC), has trimmed short messaging service (SMS) interconnection charges between rival operators, in an attempt to drive down end-user rates for the sending of text messages. Local press reports say the NTC is recommending that the interconnection charge for an SMS between two network operators should not exceed USD0.003 per SMS through its Memorandum Circular No. 02-10-2011. it is understood the new rates will come down by USD0.005 from USD0.008.

NTC Commissioner Gamaliel Cordoba has reportedly said that the implementation of new SMS interconnection rates is in line with the provisions of the country’s Public Telecommunications Policy Act, which seeks ‘the establishment of fair and reasonable interconnection among public operators and other telecommunications service providers at reasonable and fair cost’.