By Ben King, 7 January 2002 17:10
NEWS Oftel has called in the Competition Commission after expressing concerns that mobile phone companies are abusing their position of power in setting the prices for calls to their networks. The telecoms regulator believes the companies may be abusing their positions to charge other telephone companies too much for connecting a call to mobile phone users on their networks. In September, Oftel proposed that the networks cut their rates by 12 per cent per year (adjusted for inflation). However, the mobile networks refused to accept the recommendation and claimed the prices they charge are justified and necessary for them to make a profitable business. Oftel doesn't have the power to force the networks to toe the line - so they're calling in the heavy squad, the Competition Commission, which can force their hands. However, the Competition Commission will not rule for another six, or possibly 12, months.
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