Due to significant pressure from European Union regulator authorities, the world’s biggest mobile phone carrier, Vodafone Group, has agreed to cut wireless roaming charges for its European customers.
The average cost of network roaming on other networks within the continent will drop from current levels of €0.90 per minute to less than €0.55 per minute.
Vodafone also plans to create “reciprocal wholesale” agreements with other carriers, with the goal of selling wholesale voice minutes for no more than €0.45 by October 2006.
The British mobile operator is hoping that these changes will pre-empt EU regulators’ intentions of imposing cuts on roaming charges, which many decision makers have described as excessive.
“The European Commission and European Parliament have made it clear that they expect to see change,” said Vodafone CEO, Arun Sarin, in a statement explaining the company’s actions. “By addressing both retail and wholesale prices, we are providing a platform for sustainable, lower retail prices across Europe in the future … We believe the market is the best way to meet customer needs, not regulation.”
The move has been received well by the Europe’s Commissioner for Information and Media, Viviane Reding.
“This move of Vodafone is the right move in the right direction,” Reding commented at a meeting in Madrid. “I will also see if there is something in the proposal, for instance, concerning incoming calls. I’m going to be very interested to see how the Vodafone’s competitors are going to react.”
Due to significant pressure from European Union regulator authorities, the world’s biggest mobile phone carrier, Vodafone Group, has agreed to cut wireless roaming charges for its European customers.
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