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Tag Archives: Termination rates

OECD is too polite in discussion of termination rates for international calls

OECD has done a good analysis of the wrong-headedness of raising international voice call termination rates, and indeed of having international termination rates. Outside the OECD countries, the price has been dropping too, accompanied by a huge increase in traffic. Calls from the United States to India increased eight fold over 2003-2011 for example. But […]

What connected people, termination-rate revenue or liberalization?

Sri Lanka Telecom Growth 1992 to 2010

Sri Lanka Telecom Growth 1992-2010 The validity of the proposition that extending the existing accounting-rate regime for international voice to Internet traffic in order to provide additional revenues to increase the build-out of broadband infrastructure in developing countries rests on the claim that the accounting-rate regime contributed to the extraordinary increase in voice connectivity over […]

Kenya’s President does not like low telecom prices

Usually politicians like low prices. But the Kenyan President dislikes them so much that he could not wait for the Task Force established by the Prime Minister to examine a decision by the “independent” regulator to lower mobile termination rates, an esoteric wholesale price determined by technical methods. I have not looked at the Kenyan […]

Wanted: A terminator to terminate the termination cost

The UK regulator, Ofcom, has proposed cuts in interconnection fees (also known as mobile termination rates), the wholesale charges that operators make to connect calls to each others’ networks. It has unveiled plans to cut the rate in stages from 4.3 pence ($0.065) per minute to 0.005 pence per minute by 2015. “As rates fall and […]

Namibian interconnection rates converged at NAD 0.60 (USD 0.07)

Namibian Communications Commission (NCC) has ordered the convergence of interconnection rates between operators (Cell One, Telecom Namibia and MTC) through the introduction of a standard charges structure; rates will be reduced bi-annually over a two-year period. Symmetry between mobile and fixed termination rates supports fixed-mobile convergence and removes distortions caused by previously higher mobile-to-mobile rates. A benchmarking […]

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