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Mobile telecommunications in Italy: main recent changes in the regulatory framework

07/03/2015 - 02:30 PM

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Wholesale mobile markets

Mobile termination rates on H3G network

On February 14, 2014, the Consiglio di Stato accepted the appeal by H3G regarding the determination of mobile termination rates from July 1, 2012, as set out in AGCom Resolution 621/11/CONS. This
Resolution established, among other things, that from July 1, 2013 onward there must be complete symmetry between H3G termination rates and rates for other mobile operators, thus bringing the
deadline originally set in the framework decision subject to public consultation (Resolution 254/11/CONS) forward by six months. TheConsiglio di Stato
ordered the cancellation of this change in timing, effectively restoring tariff asymmetry in favor of H3G.In a decision of May 28, 2014, in
compliance with this ruling, the Authority not only restored tariff asymmetry for the second half of 2013,but also revised the termination price upwards for the H3G network for the first half of 2013.
New prices (eurocents/minute), based on Resolution 259/14/CONS, from July 2013, are
H3G: 1.34
Telecom Italia: 0.98
Vodafone: 0.98
Wind: 0.98


Voice termination rates on mobile network

On October 16, 2014, the Authority published Resolution 365/14/CONS, approved on July 17, 2014, which revised the termination rates on H3G for theperiod November 1, 2008-June 30, 2009, following the ruling by the Consiglio di Stato published in February 2013.
The procedure ended with the amendment of the termination rate on the H3G network for the period November and December 2008 (extending the validity of the amount of 16.26 cents per minute, which was originally effective until October 2008) and leaving the amount of 13 cents per minute unchanged for the period January-June 2009.
On February 9, 2015, the Authority published the public consultation for the 4th cycle of analysis of the mobile termination market, which was initiated on February 11, 2014.
The Authority's measure proposal establishes that all operators offering voice termination services on their own mobile network have significant market power.
Accordingly, a draft measure has beensubmitted to public consultation that sets out the same regulatory obligations (such as, for example, access to and use of network resources, control of prices, and accounting for costs), both for mobile network operators and full MVNO operators.
In addition, for the years 2014-2017, the Authority has proposed a glide path for mobile network termination rates, which is symmetric for all notified operators,as detailed in below:
Voice termination rates on mobile network 2014-2017(eurocents/minute)
From 1/1/2014: 0.98    
From 1/1/2015: 0.96
From 1/1/2016: 0.94
From 1/1/2017: 0.92
The duration of the public consultation is 45 days. In the same consultation, the Authority also announced the need to initiate specific monitoring to analyze the financial and technical conditions of supply of wholesale access services by mobile network operators to virtual mobile operators, in order to assess the significance of competition restrictions on the mobile network access market.