The new regulation by the National Telecommunications Commission (NTC) will reduce the access charges paid by mobile operators for the text messages sent by customers across all networks by as much as 57 percent. According to reports, the regulator has slashed the interconnection rates, a major revenue source for the mobile operators, from US$ 0.008 to US$ 0.0035, and expects the charge for the customers to be reduced to around US$ 0.023 per SMS.
As per sources, the revenue from text messages was US$ 648 million, almost 27 percent of Philippine Long Distance Telephone Co.’s earnings for the first nine months of 2011. Further, Globe Telecom’s revenue from mobile communications data services reportedly accounted for 39 percent of the company’s overall revenues for the same period.
Source: Wireless Federation.