Ofcom still thinks that 3's termination needs regulation

Ofcom consultation (68 pages, PDF) on a proposed decision that H3G has significant market power in the supply of voice termination on its UMTS network. Ofcom's previous determination was quashed by the Competition Appeal Tribunal for lack of reasoning (see comment here). Ofcom still appears to take the view that the absence of actual or potential competition is sufficient for a finding of SMP under the Communications Act 2003. The only regulatory action proposed on the basis of this SMP finding is a requirement to notify charges and call volumes — no price control for now.

This determination relates to a period ending 31 March 2007. Ofcom is separately proposing to find significant market power in termination and to impose price controls for all operators, including 3, from 1 April 2007.

Responses by Wednesday 25 October 2006.

For further information or advice please contact Franck Latrémolière.

Filed under Price controls.

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