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 Tuesday, 02 December 2008

The Chilean regulator Subtel proposes a 52% cut in mobile connection fees in order to use each other’s lines for the next five years, driven by low costs and high user traffic. The government will set new access rates for 2009-2014 before the current period expires; under the new proposals a figure of $0.07/minute would be imposed, much lower than the $0.133-$0.136 currently charged by the incumbent operators Entel PCS, Telefonica and America Movil.

‘We are deeply surprised by the government’s proposal for a more than 50% rate cut, which does not seem reasonable, especially in light of the prevailing uncertainty and the still unknown magnitude and depth of the economic crisis,’ Entel said in a statement. The company said it would request an expert commission be formed to arrive at a proposal that ‘does not jeopardise the achievements of the industry to date.’

Source: Wireless Federation.