The rates are currently 14 paise for wireless-to-wireless, and zero for wireless-to-wireline calls and wireline-to-wireline calls.”Trai is reviewing IUC rates and there is a possibility that these may get cut as historically, rates have dropped;​ they were last revised in March 2015 from 20 paise per minute to 14 paise. 4G entrant RJio’s business model works best in a zero IUC regime as RJio offers unlimited and free voice and while IUC charges are above zero, its margins are capped. “It is very difficult to predict the outcome of an IUC rates revision but the historical trend has seen them come down gradually. A cut in IUC rate will be negative for Bharti,” the analyst note said.​Sunil Mittal, chairman, Bharti Enterprises, had also written to Telecom Regulatory Authority of India (Trai) saying IUC at 14 paise is already below cost. Trai-mandated mobile terminated call of 14 paise is well below the cost of producing a minute, which is currently at 35 paise.

Source: dna August 15, 2017 01:41 UTC