Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.
Vodafone undertaking proposal: zero rate SMS, voice cut by two thirds
Posted on 18-Dec-2009 13:46. | Tags Filed under: News.


Vodafone undertaking proposal: zero rate SMS, voice cut by two thirds
SMS termination at zero, voice cut by two thirds

Vodafone has submitted what it hopes will be the final Undertaking as part of the Commerce Commission’s review of mobile termination rates.

On December 3 the Commission asked operators to work together to align their undertakings into one offer that would serve as an alternative to regulation in the Commission’s final report. Vodafone has worked to meet the Commission’s requirements and has aligned its undertaking rates with Telecom, at the levels the Commission indicated were likely to be accepted.

Vodafone had offered to reduce SMS termination rates to zero if traffic is in balance starting October 1, 2010. Previously Vodafone had offered to reduce SMS rates to 1.2 cents/TXT and has now agreed to move entirely to so-called ‘bill and keep’, making it cheaper for third party networks to terminate TXT messages on Vodafone’s network.

In terms of voice calls, Vodafone has agreed to reduce termination rates by 46% in the first year alone and will move rates down to 6 cents per minute by the start of 2014.

Vodafone’s GM of corporate affairs Tom Chignell says these rates will be based on a ‘second plus second’ rounding rather than ‘minute plus second’ basis.

“The impact to Vodafone’s business would be an immediate $50m reduction in revenues increasing over the period of the Undertaking. In a flat or declining market this is a non-trivial move.

“Vodafone has expressed concerns throughout this process that the Commission’s work is lacking in several areas and this continues to be a concern. However the Commission is both prosecution and judge in this area and, in the interests of concluding what has been a lengthy process, Vodafone has offered this Undertaking in line with the Commission’s recommendations.”




comments powered by Disqus




Trending now »

Hot discussions in our forums right now:

NZ Prime Minister John Key Resigns
Created by ajobbins, last reply by Stu on 5-Dec-2016 15:25 (54 replies)
Pages... 2 3 4


The President Of The USA - Who do you think?
Created by TimA, last reply by freitasm on 5-Dec-2016 11:04 (897 replies)
Pages... 58 59 60


Dishwasher not Working Properly
Created by tdgeek, last reply by Jaxson on 5-Dec-2016 14:51 (20 replies)
Pages... 2


Christmas. Bah, humbug.
Created by Rikkitic, last reply by alasta on 3-Dec-2016 13:43 (40 replies)
Pages... 2 3


'Quality' NZ news on the way?
Created by Rikkitic, last reply by alasta on 4-Dec-2016 09:49 (91 replies)
Pages... 5 6 7


Spark Ultra Fast Fibre MAX performance and discussion (Some might say Gigabit)
Created by Talkiet, last reply by sbiddle on 3-Dec-2016 21:15 (55 replies)
Pages... 2 3 4


Gigabit cable now available
Created by sub, last reply by Scotty1986 on 2-Dec-2016 12:00 (712 replies)
Pages... 46 47 48


Best of both worlds finally - Plex on kodi
Created by davidcole, last reply by reven on 1-Dec-2016 21:00 (15 replies)