Ofcom stamps out mobile termination fees Ofcom has confirmed its plan to cut mobile termination rates, though not as quickly as some would like. The final statement from Ofcom will see termination rates – the amount paid by the caller's network to the recipient's network – rapidly cut in half, and then steadily reduced until 2014 when it hits a shade more than half a …
About time too. Not fast enough in my opinion.
"and would have to cut handset subsidies"
Even better. About time Joe Public was actually made to understand the economics of their "free" handset, all the better to benefit those of us who don't upgrade every year.
Events in recent months have proven that the power is in the communication, and not the gadget.
Things right now are the right price for me. I enjoy getting a new handset every 18 months.
"all the better to benefit those of us who don't upgrade every year"
All the newer more competitive contracts seem to be 24 months, so upgrading every other year not every year is the choice most of us face in future, and with providers being forced to lower charges, theres either going to be an impact in handset subsidies, reduction of minutes, or contracts extended to 36 months. Either that or all customer service support to be outsourced to another country, yet more jobs gone from the uk.
The directors have a duty to look after the shareholders money, any impact this is going to have on share prices and profits is surely going to be looked at and met with maybe one or more of the possibilities I have outlined
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