Communications and Information Technology Commission Decides to Reduce Settlement Rates for Call Termination Between Telecom Companies

Dr. Abdulaziz Al-Ruwais, Governor of the Communications and Information Technology Commission, explained that, out of the Commission's keenness to enhance competition, protect the interests of users, and encourage the provision of reliable communications and information technology services at reasonable prices, and out of the Commission's keenness to encourage fair and effective competition in all fields of communications and information technology, and in completion of studies on regulating the prices of local wholesale voice call termination services on mobile telecommunications networks and fixed telecommunications networks in the Kingdom; the Commission's Board of Directors, chaired by His Excellency the Minister of Communications and Information Technology Dr. Mohammed bin Ibrahim Al-Suwayel, convened and approved a reduction in the prices of local wholesale voice call termination services on mobile telecommunications networks, such that the price ceiling would be (10) halalas instead of (15) halalas, and a reduction in the prices of local wholesale voice call termination services on fixed telecommunications networks, such that the price ceiling would be (4.50) halalas instead of (7) halalas.

It is worth noting that local wholesale voice call termination prices between telecommunications service providers refer to the prices that one service provider receives from another service provider in return for delivering incoming calls to subscribers on its network, paid by the service provider from which the calls originated to the service provider that received the calls. The Commission's Governor added that this decision means that the service provider from which the call originated will pay a lower amount than before to the service provider that received the call, expressing hope that this decision would be reflected in lower call prices for users of telecommunications networks in the coming period.