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The Anti-Monopoly Committee Asks Kyivstar And UMC To Revise Tariff Policies.

The Anti-Monopoly Committee Asks Kyivstar And UMC To Revise Tariff Policies.

31 October 2008

The Anti-Monopoly Committee said that by charging connection fees of USD 0.053 for each outgoing call, Kyivstar and UMC are breaking anti-monopoly laws. The committee has recommended that the mobile operators revise their tariff policies, which means the operators have to either prove the importance of these charges, or make the recommended changes. Concorde Capital: Connection fees were introduced by mobile operators in order to compensate for costs related to connecting mobile calls. However, these charges have become a considerable source of income: if we assume the average mobile user makes 55 calls per month, mobile operators earn USD 2.9 monthly on connection fees from every consumer, which is 25% of ARPU. The mobile operators will do everything possible to defend their ability to continue charging connection fees, and we believe they will be successful. 

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