Delivery of multi-country mobile services for multinationals "dysfunctional"

Stuart Corner
Sunday, 07 March 2010 15:44

Business IT - Networking

INTUG - the International Telecommunications Users Group - says the provision of mobile services to multinational corporations is dysfunction and it calling on network operators\ and regulators worldwide to lift their game.

According to an INTUG position paper: International Mobile Services and the Multinational Customer a Dysfunctional Market the multinationals INTUG represents are highly dissatisfied with the situation.

"There is lack of competition, which needs to be addressed by regulation as if a cartel was operating," INTUG says.

"There are inconsistent tariff structures, prices are too high and action on wholesale tariffs alone is not sufficient to reduce retail tariffs'¦International service providers today piece together national offerings using various forms of partnership, ranging from full subsidiaries and investment holdings to looser alliances.

"The level of control in partnerships varies from wholly-owned subsidiaries over partners in whom they hold a majority or a minority stake. The outcome of this situation is major country-to-country variations in service, products and pricing."

INTUG contends that international service offerings are, in effect, simply virtual arrangements to help customers deal with national operating companies and their service/support structures.

"Whilst such arrangements do align some contractual terms and conditions, and help customers gain a better view on their global mobile spend, they do not represent the true competing one-stop-shopping offerings, which international companies seek today."

CONTINUED