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Thursday, November 6, 2014

Why all the fuss about cross-network roaming for UK mobile coverage?

Mark Bridge writes:

A suggestion that UK mobile phone networks might be forced to improve black-spot coverage by allowing interconnection with their rivals is back in the news. It made the headlines in June and has returned again this week, which is why I could be heard offering my opinion on BBC local radio yesterday morning.

The topic is being talked about again because the government has announced a consultation into tackling ‘not spots’ in mobile phone coverage.

According to the Rt Hon Sajid Javid MP, who - as Secretary of State for Culture, Media and Sport - is responsible for the report, “This isn’t just about lifestyle, it’s vital for our modern economy.”

Mr Javid starts by acknowledging that “Government has already introduced the Mobile Infrastructure Project to tackle the issue of complete not-spots, where there is no mobile signal available at all.” Very true. The government’s Mobile Infrastructure Project was launched in 2011 to add coverage in areas where there wasn’t any commercial incentive to do so, spending £150 million to do this.

This new consultation is about partial not-spots, where at least one network offers coverage but others don’t.

Now, some might say this is unnecessary because we already have a national ‘roaming’ agreement for emergency mobile phone coverage in these areas. Since 2009, anyone making a call to the emergency services - whether on 999 or 112 - has been connected to another network if their chosen mobile network wasn’t available.

Anyway, the consultation document says it’s examining three potential measures to address the problem of partial not-spots. These are:

a. addressing coverage (infrastructure sharing);
b. Multi-Operator-Mobile Virtual Network Operator (where mobile services are retailed by an entity distinct from a mobile network operator e.g. TalkTalk Mobile, Virgin Mobile);
c. national roaming.

There’s also a fourth ‘do nothing’ option.

Infrastructure sharing sounds interesting. In fact, it’s so interesting that all the ‘big four’ networks are already doing it.

Three and T-Mobile set up a business called Mobile Broadband Network Limited (MBNL) back in 2007 to share sites. Orange and T-Mobile got together after the formation of EE, with EE later joining the MBNL party. And Vodafone and O2 set up a business called Cornerstone in 2012, sharing their masts and backhaul.

Okay, so that’s hardly a new idea. What about a SIM card that allows customers to connect to multiple UK networks? The kind of thing that foreign visitors benefit from when they visit the UK.

Nice thought. And already available. In fact, I could buy one today.

What about mandated national roaming? Well, obviously not available at the moment - but why bother? It seems to go against the ‘competition delivers what customers want’ dialogue we’ve heard previously from the government. There could well be some issue with competition law. It’s a disincentive to future investment. It may adversely affect battery life on phones. And it might even cause problems with anti-terrorism activity by muddling the metadata from calls.

At this point, I’ll point out that this enormously-significant consultation - from an industry that literally spends billions of pounds a year on improving its network coverage - will run for three weeks. Just 21 days. To contrast, Ofcom’s latest consultation on Communications services and SMEs is giving people two months to construct their responses.

Then there’s option four: do nothing.

Let’s take a look at that consultation document again. The Secretary of State for Culture, Media and Sport writes “I have held initial discussions with the four Mobile Network Operators and I note the work in place to improve coverage.” Excellent. So he’s talked to them and is aware they’re working on the problem. He goes on to say “I am keen to work with them to find a voluntary solution to the problem, however I would be prepared to mandate a solution in line with wider government interests, should insufficient progress be made.”

Oh, I see now. Given the choice between offering carrot and stick, it looks as though Mr Javid has chosen to implement the consultation document as his stick. A stick that could be applied in just three weeks’ time.

Still, at least it won’t be long before we find out what’s going to happen next.

We discussed the UK government plans for reducing so-called 'not spots' in our podcast on 12th November 2014. You can listen to the programme on our website audio player, via iTunes, by using our RSS feed, on the Stitcher.com mobile app or by downloading the mp3 file directly.

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Opinion Articles

Hanging on the Telephone

Are we waiting for mobile marketing to make a move?

Mark Bridge writes:

At the beginning of the 21st century I moved from Vodafone to work for its Vizzavi multimedia portal, wooed by talk of context-specific advertising that would one day use a customer’s location and search history to ensure any ads were precisely targeted. And I’m not the only person who’s been seduced. Consumers, ad agencies, client companies and mobile networks have all been promised much by mobile marketing.

Yet more than a decade later that kind of sophistication seems to be lacking from most mobile marketing messages.

Author: The Fonecast
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Last week at The Fonecast: 29th April 2013

Money, messaging, microphones and M2M

Mark Bridge writes:

This week there was only one set of financial results that attracted the mainstream tech media. Apple reported the first drop in quarterly profit for several years as figures fell by 18% to around £6.1 billion. On the positive side, it made around £6.1 billion profit. It also announced dates for its developer conference in June and promised a new version of iOS.

Author: The Fonecast
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Fixed line nightmares vs simple mobile

...and why Mobile Termination Rates need to fall

James Rosewell writes:

Due to growth in staff numbers my business (51Degrees.mobi) is in the process of moving offices. Coincidentally I'm also moving our home broadband. It’s not been a pleasant experience.

This got me thinking, because a few weeks ago on thefonecast.com we discussed why Ofcom isn’t treating Mobile Termination Rates (MTR) in the same way as fixed-line termination rates. The mobile industry justifies higher MTRs on the assumption that a mobile network costs more to run than a fixed-line network. It was certainly true when the fixed costs of running a mobile network had to be shared across a relatively small number of customers, even if they did pay a fortune for their contracts and terminals. Intuitively I'd say that’s just not true anymore.

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Last week at The Fonecast: 22nd April 2013

Spring in the air

Mark Bridge writes:

The past few days have seen the arrival of two familiar seasons. Not only has the sun peeked its head from behind the clouds in an approximation of Spring but the mobile industry has been releasing its quarterly results.

Author: The Fonecast
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Last week at The Fonecast: 15th April 2013

Going up...

Mark Bridge writes:

It’s claimed there’s recently been some dodgy equine activity in the mobile industry. No, I’m not talking about the dancing pony that promoted Three UK. I’m not even making lasagne jokes. I’m talking about the ‘Trojan horse’ threatening to monopolise the mobile marketplace.

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Podcast from Mobile World Congress 2015

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Looking back at February: from security scares to multiple MVNOs

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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.

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

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

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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
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