Informal Group

GMPCS-MoU

Geneva, 14 February 1997

Comments of the International Radio Traffic Services Ltd. (England)
on the Memorandum of Understanding

We have to express concern that "free circulation of user terminals" globally will have a serious reduction in the amount of revenue that each Member nation earns from its existing international telephone services.

Member nations should be given the option of setting up a gateway and forward routing all calls via their own system in their own countries or states.

There seems to be no facility in existence which will provide for the possibility of bad debts arising from lost or stolen terminals.

Should a terminal user unknowingly carry a terminal into national territory which has NOT a signatory, what is to be the remedy for recovery?

We conclude by stating that our opinion of the global sales of terminals - estimated as three billion units - is seriously overestimated for the following reasons:

a) The developed world already has a widely developed cellular phone network in place. Its fringe areas can already be accessed by portable mobile units where such service requirements exist.

b) The underdeveloped nations, although greatly in need of the advantages which these terminals can provide, will provide a financial wall of unavailability to individuals whose gross annual income would never afford a terminal. This would leave a seriously reduced estimate of the number of terminals to be in service.

We trust these comments may be useful.

______________