CHAPTER 6: Data Regulation
49. Witnesses proposing the regulation of roaming
charges have, in the main, focused on voice services. However,
roaming customers can also send and receive SMS (Short Message
Service), MMS (Multimedia Message Service) and other data services.
50. The evidence presented to us has suggested
the need to focus on voice services because of their relative
importance in terms of roaming traffic (QQ 249, 251); and
the lack of data on the costs of data services upon which regulation
could be targeted.
51. Evidence from operators has suggested that
competition was currently reducing, and would continue to reduce,
roaming prices for SMS, MMS and other data services, the same
argument as for voice services. They also told us that data services
were a developing market, it may be too early to impose regulation.
(Q 322)
52. We believe that the underlying market
failure that exists in roaming for voice services is every bit
as evident for data services, which have even less price transparency
than their voice counterparts. It is thus important that this
regulatory initiative should also consider these services. However,
there is even less evidence as to whether roaming charges for
SMS, MMS and data services are more excessive than for voice services.
53. Evidence from the Commission, European Parliament
and Presidency has suggested that, in varying degrees, all three
bodies share our concern in this area. However, they also expressed
concern that the regulation of voice roaming should not be delayed
whilst these services are considered. In particular, we note that
the Commission's Regulatory Impact Assessment would need to be
substantially extended to support data regulation and that this
may prove difficult and time consuming given the immediate lack
of available data.
54. We agree with the German Presidency that
a separate study of SMS, MMS and data roaming should be conducted.
As with our previous recommendation to collect more data to support
the regulation of voice roaming, this study must be conducted
on a consistent pan European basis. We would again suggest that
the Commission co-ordinates this study supported by the NRAs.
55. We do not believe that voice regulation
should be delayed whilst this study is conducted. We would, however,
suggest that if regulation is considered appropriate a similar
approach as outlined for the regulation of voice (see above) should
be considered.
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