Vodafone Group's chief executive Vittorio Colao has sought government support in key policy decisions while reiterating that any reduction in mobile termination charges (MTC) will destabilise the sector. Any reduction in MTC risks large scale site shut-down of already unprofitable sites in rural India, which would greatly diminish the population coverage of mobile telephony," he said. Colao said the existing rate of 14 paise for MTC is already below the current cost of about 30 paise. Mobile termination charges or interconnection usage charges (IUC), currently at 14 paise per minute, are paid by a telecom operator to another for terminating incoming calls from its network. The legacy players - Airtel, Vodafone, Idea Cellular - have been at a war of words with Reliance Jio over the issue.

Source: dna August 28, 2017 02:03 UTC