Latest Podcast



Featured Articles

Thursday, October 1, 2009

Termination rates are already falling - so why all the fuss?

Mark Bridge writes:

With over 100,000 people having signed its petition in four months, there’s no denying that the Terminate The Rate campaign is attracting supporters. And with promises including “BT and 3 are working together on a petition that will lower your phone bill by reducing the level of Mobile Termination Rates”, it’s easy to see why.

But what’s the point of all the campaigning - and has it really achieved anything?  Terminate The Rate – which is run by 3 UK – says mobile networks charge a Mobile Termination Rate (MTR) of around 4.7p per minute for connecting a call to another network. That’s a lot of money over the course of a year. But those networks also pay that 4.7p when calls are connected to them, which cancels out a fair bit of it. Now, I don’t doubt there are some profits in there. But, to be frank, I don’t see much real consumer benefit in cutting termination rates. It seems to me that any profits lost from MTRs would simply be generated from increased charges elsewhere. Even if new tariffs offered ‘more value’ they’d be likely to cost more. Regulators have even suggested that we could cut MTRs and then pay to receive calls. Do I hear the sound of a lead balloon going down?

And I’ll confess I’m suspicious of 3’s volte-face; arguing in favour of increased MTRs when it suited and then arguing against them when it didn’t get its way.

Okay, so none of us likes spending money when we don't see a benefit – but talking about “bill shock” and a “a secret tax on consumers” is more like tabloid rhetoric than an informative campaign.

And some of the campaign supporters seem to be sending confused messages, too. For example, the Plain English Campaign said “Consumers deserve the right to understand complex issues that affect them in the simplest possible terms and we support any organisation that strives to do this” – which seems to suggest it would just as happily support an increase in termination rates if the organisers had a ‘Crystal Mark’ on their literature. There’s also plenty of talk from organisations about supporting the campaign because it’ll reduce charges – although that's certainly not guaranteed.

I was pleased to see that Martin ‘Money Saving Expert’ Lewis was, like me, unconvinced by the campaign. He told us “We’ve decided not to back the Terminate the rate campaign for the time being. As the decision was in the balance we put it to our users and the majority weren’t in favour of doing so. This is an important issue and one to look at, though we’re not fully convinced a campaign run by a big mobile phone network which is in its own vested interest is the right way to go forward”. And that makes me wonder how many other organisations had also declined to join 3 and BT’s party.

Terminate The Rate plans to give its petition to Ofcom later this month. And then what?  Perhaps my biggest complaint about the campaign is that, even before it launched, the European Commission had told Ofcom and other European regulators to make sure MTRs reflected actual costs. And MTRs are already set to drop next year. Which suggests everything’s in hand. And in 2011, when the current charges are reviewed, we’ll probably see a decent-sized drop in MTRs... which would have happened regardless of any campaign.

Print
Author: The Fonecast
0 Comments
Rate this article:
No rating

Categories: OpinionNumber of views: 35616

Tags:

Leave a comment

This form collects your name, email, IP address and content so that we can keep track of the comments placed on the website. For more info check our Privacy Policy and Terms Of Use where you will get more info on where, how and why we store your data.
Add comment

Opinion Articles

Satellite phones may work everywhere... but that doesn't mean they're legal

Mark Bridge writes:

Every time a British citizen finds themselves in trouble abroad – whether the problem is pirates, police, having a drink or having a cuddle – it’s very likely someone somewhere will say “you should have checked first”.

That’s sensible advice when it comes to looking at the FCO website… but an extra reminder about checking the legality of your technology came this week when biofuel bus driver Andy Pag was arrested in India for using a satellite phone.

Author: The Fonecast
1 Comments
Article rating: No rating

Google, Android and TouchDown – demonstrating the new "old" business model

James Rosewell writes:

If you work for a sizeable organisation it’s 65% likely your email, contacts, calendar and task list will all reside on a Microsoft Exchange server. That’s quite a lot of mobile phones to connect and synchronise with Exchange. Microsoft has a solution called ActiveSync now supported by Nokia, Apple and a few others. RIM requires a server that IT departments need to install to allow their BlackBerry users to access these features.

Android has been left behind when it comes to accessing ActiveSync.

Author: The Fonecast
0 Comments
Article rating: No rating

Google Nexus One – a tale of 2 power supplies

James Rosewell writes:

Last week I decided to use my own hard earned money to buy the latest high-end HTC smartphone running Android 2.1 in the form of the Google Nexus One. I’ve not used an Android-based device as my main phone for some time so was keen to understand the improvements to the operating system and see for myself how fast the Snapdragon processor really is.

Author: The Fonecast
0 Comments
Article rating: No rating

Ten tips for mobile working at home

Mark Bridge writes:

So you’re stuck at home because the snow’s made your journey to work too hazardous?  Or perhaps you just needed a little peace and quiet to finish an important project?

Well, technology can certainly make your life easier – but how can you make the best of it?  Here are my top ten tips… all gathered from personal experience. So switch on your BlackBerry, connect to your VPN and let’s do some telecommuting.

Author: The Fonecast
0 Comments
Article rating: No rating

Today, Nexus One... tomorrow, the world

Mark Bridge writes:

To my mind, the Google Nexus One is just another Android-powered handset. It’s a very good Android-powered handset – and one that might dissuade me from my planned upgrade to a Motorola Milestone – but in reality it’s only another phone.

And, as I mentioned yesterday, I don’t think Google’s method of selling the phone is going to transform mobile retailing. Well, no more than the internet is doing already.

Because that’s not why the Nexus One has been created.

Author: The Fonecast
0 Comments
Article rating: No rating
RSS
First102103104105107109110111Last

Recent Podcasts

Reviewing our 2015 mobile industry predictions... and looking forward to 2016

Podcast - 15th January 2016

Iain Graham, James Rosewell and Mark Bridge return to review their mobile industry predictions from last year. Which mergers, partnerships and developments did they forecast correctly... and which didn’t work out as planned?

Later in the programme, the team anticipates some of the topics that will be hitting the headlines during 2016.

Author: The Fonecast
0 Comments
Article rating: No rating

Podcast from Mobile World Congress 2015

Podcast - 6th March 2015

Mark Bridge learns about the mobile technology trends at Mobile World Congress 2015 by chatting to James Rosewell of 51Degrees, Dr Kevin Curran from the IEEE and Chris Millington of Doro.

They talk about wearable devices, wireless charging, mobile operating systems and much more... including some of their favourite products from the exhibition.

Author: The Fonecast
0 Comments
Article rating: No rating

Looking back at February: from security scares to multiple MVNOs

Podcast - 27th February 2015

We're taking a look back at the biggest mobile industry news stories from February 2015, including allegations that the UK's security service tried to breach SIM card security by hacking into one of the world's biggest SIM producers.

We also talk about the planned BT and EE merger, the creation of two new UK virtual networks, some acquisitions in the mobile payment arena and a new Ubuntu smartphone.

Author: The Fonecast
0 Comments
Article rating: No rating

Interview with Chris Millington of Doro about mobile retailing, wearables and technology for older consumers

Podcast - 24th February 2015

In today's programme Mark Bridge talks to Chris Millington, who's Managing Director for Doro UK and Ireland.

They discuss the state of mobile retailing in the UK, the future of wearable devices and - as you might expect - smartphones for seniors.

Author: The Fonecast
0 Comments
Article rating: No rating

A month of mobile: O2 counts on 3, Microsoft counts to 10 and Apple counts its profits

Podcast - 30th January 2015

We're back with a month of mobile industry news, including takeover talks and takeover rumours. O2 and Three are said to be discussing a merger... but is there any truth in the suggestions that BlackBerry could be up for grabs?

We also discuss Apple's record-breaking quarterly figures, the highlights of CES and the launch of Microsoft Windows 10, as well as saying farewell to the current version of Google Glass.

Author: The Fonecast
0 Comments
Article rating: No rating
RSS
1345678910Last

Follow thefonecast.com

Twitter @TheFonecast RSS podcast feed
Find us on Facebook Subscribe free via iTunes

Archive Calendar

«May 2024»
MonTueWedThuFriSatSun
293012345
6789101112
13141516171819
20212223242526
272829303112
3456789

Archive

Terms Of Use | Privacy Statement