Telecom Egypt Loses Appeal to Lower Mobile Termination Rates
Published on: 7th Jun 2010
Note -- this news article is more than a year old.
An Egyptian court has overturned a regulatory decision regarding the termination fees paid by Telecom Egypt to connect landline calls to mobile phones reports the Reuters news agency citing the daily al Mal newspaper.
Telecom Egypt had complained to the telecoms regulator in 2008 that the fees should be lowered. Mobile network operator, Mobinil appealed against the lowered termination rate and an administrative court has ruled in favour of Mobinil. The telecoms regulator would not take further action until it reviewed the details of the ruling, the newspaper added.
Telecom Egypt is expect to have to take a charge of EGP426 million (US$74.5 million) if the higher rate is applied, although Mobinil has been recording its revenues based on the higher figure so wont be able to book a one-off gain.
Vodafone Egypt is also appealing against the lower termination fees.