Resolution in 3/Tesco dispute expected soon

3 Mobile has had a long-running dispute with Tesco Mobile over charges.

3 Mobile has had a long-running dispute with Tesco Mobile over charges.

A resolution is expected soon in the long-running dispute which saw users on the 3 Mobile network being blocked from making calls to Tesco Mobile customers.

The row, which centres around the so-called ‘termination rate’ levied by Tesco, has been running since the retailer entered the Irish mobile market in late 2007.

3 Mobile has since taken the case to the communications regulator ComReg which has said it will issue a resolution on the matter soon. It is understood that the eventual solution put forward by the regulator will be binding to all parties.

A termination rate is charged by a mobile operator when it carries a call coming from another network. 3 Mobile has said in a statement that the amount requested by Tesco Mobile was significantly higher than that charged by O2, Vodafone and Meteor and was particularly unjustified as the company did not have to invest in a network.

“As an [Mobile Virtual Network Operator] on 02’s network, Tesco Mobile has not incurred any significant start-up costs or invested in new technology and infrastructure for the benefit of the Irish consumer,” said the company in a statement. “3 therefore maintains that it is more than unreasonable that Tesco Mobile would request an Mobile Termination Rate way above the market average and way above 02’s own rate.”

Tesco Mobile was contacted for comment but had not responded at the time of publication.

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