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    GSMA slams EU roaming vote result

The GSMA maintains that proposed roaming regulations are uncessary and may do more harm than good.

By Maggie Holland, 23 May 2007 at 15:54

Plans to regulate mobile roaming charges may have been given the green light by a European Parliament vote today, but the GSM Association (GSMA) has slammed the decision, warning that it will adversely affect the competitive landscape and potentially spell bad news for users.

The regulation is unnecessary, according to the GSMA, as some prices have already started to fall in recent years, ensuring that consumers benefit from value for money that might not occur with the rigid per minute price caps proposed.

"The Retail Price Index, which is based on actual traffic and revenue data provided by operators, shows that roaming prices are now almost one third lower than in 2005," said Rob Conway, chief executive of the GSMA.

"These price declines, which have been driven by innovation and competition, have been achieved without the market distortions and unintended consequences that would be caused by regulation."

The proposed caps may force operators into offering services at a price point that leaves them no roam for manoeuvre competitively in terms of cost and new offerings, according to the GSMA.

"These proposals are designed to further a narrow, short-term and populist agenda and run counter to the wider interests of consumers, the business community and ultimately the European Union," Conway concluded

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