press release -cell to cell tariff.doc
Published on: Mar 4, 2016
Transcripts - press release -cell to cell tariff.doc
GSM OPERATORS PRESENT ITS MILLIONS OF CUSTOMERS A GRAND
NEW YEAR GIFT - NOW MOBILE-TO-MOBILE NATIONAL LONG
DISTANCE CALLS WILL COST YOU JUST RS.2.99 A MINUTE ANYTIME,
The death of distance & the simplicity of time bands to give you the added convenience to call
anywhere in India at any time (Not wait for the middle of the night)
• The dramatic reduction will make ‘Roaming’ (a service exclusive to GSM mobile
customers) extremely affordable to the masses of India and help millions stay in touch
with their family & business whenever they travel.
NEW DELHI, 2 January 2003 – The GSM mobile industry today announced a big New Year
bonanza by offering to cut national long distance tariffs from the current peak of Rs.9 per minute
down to a flat rate of Rs.2.99 per minute, anytime, anywhere, for all mobile-to-mobile calls of 50
kms and above. This new tariff which will immediately benefit over 10 million cellular users, also
simplifies the existing distance linked tariff, to a “one rate plan”, indicating the “death of distance
and time” for calls between any two cellular mobile subscribers, in any part of India.
The Cellular industry has been at the forefront of delivering value to customers. Cellular mobile
tariffs in India are the lowest in the world. The industry was the first to trigger of massive reduction
in domestic long distance tariffs exactly a year ago, from the then peak of Rs.24 per minute.
With the “one rate plan” of Rs.2.99 the effective reduction in cell-to-cell national long distance
tariffs over the last year, is more than 88%. This would save mobile users and businesses thousand
of crores annually, which will in turn help enhance their productivity and competitiveness
respectively. The offer powered by Bharti Telesonic’s IndiaOne, is available to all cellular mobile
subscribers without any exception. The special, anytime, ‘one rate’ being offered takes away
inconvenience suffered by millions of customers having to wait for the middle of the night to call at
Cell-to-Cell National Long Distance Call
Distance (Kms) Per minute Tariffs (in Rs.)*
* Air time not included
Another significant way in which millions of customers will derive great value from this dramatic
reduction, is when they ‘roam’. From now on, a roamer will pay only Rs.2.99/minute as the STD
rate. This reduction will make ‘Roaming’ (a service exclusive to GSM mobile customers) extremely
affordable to the masses of India and help millions stay in touch with their family & business
whenever they travel.
The cellular industry highlighted that it had built India’s first Rs. 25,000 crore, nation wide, world
class, state-of-the-art infrastructure and met every obligation in their license. Having provided the
cheapest cellular service in the world and rapid build-out across the country, it is expected that a
fair and just regulatory treatment vis-à-vis WLL (M) operators is provided.
The cellular industry has paid approximately Rs.9,000 crores as entry fee to provide mobile
telephony, while fixed line operators have been allowed free entry into mobility, thus enabling
WLL(M) operators to provide lower tariffs. Further, cellular subscribers, and only cellular
subscribers are forced by regulation to pay two charges while calling a fixed line or a WLL (M)
phone, while WLL (M) subscribers are only required to pay a single charge. It is these and other
such regulatorily mandated costs that are preventing the cellular industry from being competitive
vis-à-vis limited mobility services.
The industry is, however, greatly relieved by the recent favorable Supreme Court judgment in the
WLL (M) matter. The Supreme Court has directed a comprehensive legal review on all matters of
legality, permissibility, contractual obligations, violation of TRAI Act and due process. The
industry believes that the review will go in their favor. According to the cellular operators there
was no question of a tariff difference if level playing field, through identical license conditions, was
ensured for all types of mobile operators, regardless of the technology in use.
The cellular operators stated that this announcement was timed in response to the stated position of
the WLL (M) operators to use the interim period of the judicial review ordered by the Supreme
Court to lure away existing and potential cellular subscribers. The cellular industry believes that
this is an unfair advantage which, depending upon the TDSAT’s final judgment, could well be
reversed in their favor. In the meantime, however, irreversible damage could be caused to the
interests of cellular subscribers and service providers.
The cellular representatives said that they would do everything to protect their rights and those of
their subscribers – and had announced today’s tariffs to protect the interests of cellular subscribers.
The cellular industry made it explicitly clear, yet again, that if given identical license terms, they
were a position to match or better the tariffs offered by limited mobility operators.
GSM Mobile, which has a more competitive price per line, allows subscribers to choose any of the
four operators in every circle and be a part of the 750 million plus GSM subscriber club worldwide.
GSM Mobile also allows subscribers to buy handsets depending upon their choice and budget.
On the issue of interconnection with limited mobility operators, the cellular industry said they were
willing and ready to interconnect, but merely demanded reciprocal commercial terms from WLL
operators, who have till date, been the beneficiaries of a one sided regulatory regime, which forces
cellular subscribers to pay for interconnection, without imposing a similar access charge on the
WLL (M) subscriber.
The cellular industry feels confident that taking into consideration their consistent track record and
commitment to reducing tariffs as well as the direction and framework of the review ordered by the
Supreme Court, the existing and potential cellular customers will choose them over the limited
mobility services – the legality of which, is still very much under question.
For further information, please contact:
Anupama Chopra/Kamlesh Sharma
Rediffusion DY&R Brand Communications
Tel: (011) 6147139 / 94 / 87, 8669351 (D)
Fax: (011 6147159
Mobile: 098102 03445