Information and Communication Technologies Authority of the Republic of Turkey (ICTA) Özgür Fatih AKPINAR NRA’S ROLE TO ENSURE COMPETITIVE MOBILE MARKET -TURKISH CASE-
Outline 1. NRA’s Role: Regulations 2. Current Situation in Mobile Market 3. Conclusion
NRAs Role: Regulations
NRAs Role Ensure Competitive Mobile Market Off-net traffic should be increase Call termination rate should be cost oriented Retail margin between on-net and off-net price should be narrowed. Ensure Easy Switching Methods Target to Increase Traffic Volume
REGULATIONS 1. Regulation: Upper Limit for Retail Mobile Tariffs 2. Regulation: Mobile Interconnection Regulations 3. Regulation: The Board Decisions dated and numbered 2009/DK-07/149 & and 2010/706. 4. Regulation: Mobile Number Portability
1. Upper Limit for Retail Mobile Tariffs Aim; Obviating pirce-based exploitative abuses as well as alleviation of network effect by preventing the GSM operators to set high margin between the off-net and on-net tariffs (Including PSTN calls) 6
2. Mobile Interconnection Rates (euro cents) 1 Turkish Kurus = 0.47 €-Cent
Mobile call termination rates in EU Euro cent
3. Specific Board Decisions (2009/DK-07/149 and 2010/706.) Mechanism; This Board Decision requires the SMP operator in mobile access and call originitaion market (Turkcell) to ensure its accrued on-net tariffs are not below its off-net call termination fee. Aim; P reventing SMP operator to abuse its position through network externality.
Specific Board Decisions (2009/DK-07/149) 10 On-net rates fall below termination rates. Termination rates over the on-net tariffs
Specific Board Decisions (2009/DK-07/149) 11 increase on-net tariffs - Decrease terminations charges
4. Mobile Number Portability Regulation Aim; Ensuring a more competitive environment by increasing the flexibilies of the consumers in changing their operators. Mobil number portability has been used since 9 November 2008.
Mobile Number Portability (MNP)
Current Situation in Mobile Market
Total call traffic volumes
16 Traffic volumes by call origination (%)
Off-net traffic volume is increasing
Off-Net mobile volume (mil. minutes)
CountriesMoU (minutes) France 248,8 Irland 248,7 Turkey239,4 UK 179,7 Spain 158,2 Italy 137,8 Portugal 129,8 Germany 110,4
M obile Messaging Services
EFFECTS OF THE ACTIONS The change in market shares of the mobile operators According to revenue of the operators
Effectiveness should not be ignored as well as competition. Cost oriented call termination rate has vital importance for competition. Hesitation of decreasing about tax revenue is in vain. (Although call termination rate has been decreased almost %300, off-net traffic volume has increased almost %400) Effective MNP is also important tools for competition.
Thank you Özgür Fatih AKPINAR