Regulator nibbling on revenue of mobile operators

The expected lower termination rates will put pressure mainly on Mobistar’s revenue, according to most analysts. The price reductions proposed by telecoms regulator BIPT will be more drastic than expected and investors reacted yesterday by bringing down the share prices of Mobistar (down 6.4%) and Belgacom (down 2.3%). Rates at Belgacom would drop 28%, more than 46% at Mobistar and even 51% at BASE. The three mobile operators have been active for a decade and now is the time to give everyone the same odds, according to the BIPT. The BIPT is the first regulator in the EU to propose such a low rate, although Belgium has long been trailing in telecoms matters, according to Danielle Jacobs, director of BELTUG.

[DS – Tijd - Echo - LLB - LS - 3 February 2010]