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Mobile association hits out at monopolist charge

European mobile operators are at risk of heavy regulation if new directives currently under consideration become law, according to industry association GSM Europe.

By Ben King

Published: 28 February 2001 12:30 GMT

GSM Europe, the European branch of the GSM association, has set its guns against proposed changes in legislation, which will class many of Europe's large and small mobile carriers as near-monopolists.

Companies classed as having a significant market position will be subject to a range of tough restrictions. Most importantly, they will not be allowed to charge for calls that terminate on their networks at more than cost price.

Legislation currently under consideration will classify oligopolistic players under similar rules to those governing monopolies and since the mobile market is always an oligopoly, even small mobile phone network operators will be classed as having a significant market position.

Caroline van Weede, chair of GSM Europe, said: "If the Parliament's and Council's amendments go through, one of Europe's greatest success stories - the breathtaking growth of mobile services across the continent - will be put at risk."

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