In a formal response issued today to the European
Commission’s proposals, the GSMA points out that mobile operators
offer roaming services as part of a package of interrelated services,
which represents very good value for consumers. Across Europe, overall
retail prices for mobile voice services (including both roaming and
domestic services) have fallen at an average of 5% per annum over
the past four years.
Data from a sample of key operators suggests that
falls in retail roaming tariffs are accelerating, declining by an
average of 8% across Europe last year. European operators are introducing
innovative new packages that specifically give their customers better
value on roaming services.
“Further roaming regulation is unnecessary and
could have unforeseen consequences,” said Rob Conway, CEO and
member of the board of the GSMA. “While we believe that competition
is the best way to meet the needs of customers across the whole range
of mobile services, the GSMA membership will continually explore ways
in which further industry action might address particular concerns
of customers and other stakeholders.”
More regulation would cut across the comprehensive
telecoms regulatory framework that is already in place in the European
Union, which enables national regulators to intervene if necessary.
Overlapping regulation increases uncertainty and could put at risk
further investment in networks and the development of new services,
harming Europe’s broader competitiveness.
If the Commission continues to pursue the idea of
legislation, it should first carry out a full impact assessment. This
kind of analysis is a requirement of the Commission’s own internal
process guidelines. The introduction of hastily constructed legislation
could have unintended consequences, such as lower investment and less
innovation, which would ultimately hinder the global competitiveness
of European businesses.
“From the limited information publicly available,
the European Commission’s proposals appear to be based on an
outdated and incomplete view of the roaming market and the wider mobile
industry,” added Mr. Conway. “Before taking the drastic
step of bypassing the existing regulatory framework, the Commission
needs to undertake a careful analysis of the fast-changing European
mobile market and the potential impact of any further legislation.”
The European mobile industry, which reinvests a greater
proportion of revenues than most other industries, has a strong track
record of offering innovative new services and tariff packages to
consumers. Operators are now investing in extending and upgrading
third-generation mobile networks, allowing them to carry more traffic
and rollout new services.
As a result, Europe’s telecommunications industry
is offering consumers a wide and growing range of ways to communicate
both at home and when they are travelling. New services, such as mobile
email and instant messaging, and access technologies, such as WiFi,
are further extending consumers’ communication options.