Beltug

Tariff alert: Fixed-to-mobile tariffs no more fixed setup costs - talk to your operator!


Date:07/03/2008


Tariff alert: Fixed-to-mobile tariffs – no more fixed setup costs - talk to your operator!

The high cost of calls from fixed to mobile networks is due to high mobile termination rates (i.e. the rates the fixed operators pay to the mobile operators to terminate calls on the mobile networks). Because the BIPT/IBPT wants tariffs for fixed-to-mobile calls to come down, it is enforcing a reduction in the mobile termination rates every 6 months. In this way, the fixed operators’ costs for calls towards mobile networks decline in a gradual manner. 

 

BELTUG wants to know whether the operators are passing this decrease in costs onto their customers, and therefore organizes the BELTUG Fixed-to-Mobile Barometer user survey every 6 months. The first results of this survey were clearly disappointing.  

In February 2008, the BIPT/IBPT implemented a new reduction in mobile termination rates.  The BIPT abolished the difference between peak/off peak rates, as well as per-call setup costs. All costs are now time-based per second from the first second.

 

This has resulted in the following changes as of February 1st, 2008:

Peak MTRs (Eurocent)

Before 01 Feb 08

As of 01 Feb 08

 

Setup

Per minute

Per minute

Base

5

10.44

11.02

Proximus

5

5.88

8.54

Mobistar

5

9.95

9.42

 

For short calls, the majority, the outcome is a very considerable cost reduction for the telcos! This is the situation not only for all calls from fixed to mobile, but also for calls between mobile operators, which represent a large share of the business mobile usage. For calls from 2 minutes and longer to Proximus the costs for the operator became a bit higher.

 

BELTUG advises its members to address this issue with their operators urgently. 


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