Wed, 23 Jan 2013 08:23:01 GMT | By Business Line

Mobile firms threaten to stop roaming services if forced to give it free

Telecom Minister Kapil Sibal had earlier announced that national roaming charges would be waived this year as part of the New Telecom Policy


Mobile firms threaten to stop roaming services if forced to give it free (© Reuters)

New Delhi: Telecom companies have threatened to stop offering roaming services if the Government forces through a policy to make national roaming free of charge. Mobile companies have told the telecom regulator that such a policy would wipe out 10 per cent of their annual revenues, and this would be hard to sustain.

“If the incoming national roaming charges are made zero then either we will be forced to stop giving roaming services to our GSM subscribers or we would take a high financial hit. We would not be surprised if the incumbent operators will not provide the roaming service to smaller operators,” Tata Teleservices said in a written communication to the Telecom Regulatory Authority of India (TRAI).

Telecom Minister Kapil Sibal had earlier announced that national roaming charges would be waived this year as part of the New Telecom Policy. Once roaming charges are waived, mobile users can get incoming calls free of charge and make outgoing calls at local rates while travelling anywhere in the country.

The policy was approved by the Union Cabinet last May.

(Continued)
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