EU seeks to lower overseas text message costs

THE 2.5 billion text messages sent every year by roaming customers in the EU cost over ten times more than domestic short messages, according to figures released yesterday by the European Commission.

The average cost of a roaming text message in the EU between October 2007 and March 2008 was €0.29 according to the European Regulators’ Group (ERG), but can be as high as €0.80 for travellers from Belgium.

This is more than ten times higher than the price for domestic text messages which can be as low as €0.034 according to a new study by the Danish Regulator.

Calls on the industry for self-regulation and voluntary reductions of roaming prices for text messages have not been answered. The Commission will therefore start working on measures to ensure that consumers benefit from a truly single market for mobile text services. The Commission will also seek to put an end to ‘bill shocks’ that can hit roaming customers using a mobile connection to surf the internet.

New measures could be proposed by the Commission to the European Parliament and the Council in early autumn.

“Europe’s Single Market should be allowed to play its part, making sure that no borders re-appear on travellers’ phone bills,” said José Manuel Barroso, President of the European Commission.

“On seeing the latest price trends gathered by national telecoms regulators, I am particularly concerned by the high prices paid by consumers for text messages when they are travelling abroad. There is also a danger that European businesses are put off by non-transparent roaming costs for mobile data services.”

“EU citizens should be free to text across borders without being ripped off,” said Telecoms Commissioner Viviane Reding. “Roaming charges have already drained the wallets of mobile customers too much, especially the 77 per cent of young people who send texts while using their mobile abroad.

“It is not a good sign for the competitiveness of Europe’s mobile industry that it still hasn’t got the message that credible price reductions are needed to avoid regulation.”

Commenting, Dániel Pataki, Chairman of the ERG said: “In the view of the ERG, a price cap between €0.11 and €0.15 per SMS would be appropriate.

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