LONDON-U.K. mobile operators suffered a defeat on call charges Friday when a U.K. court ruled that U.K. regulators had acted within their powers when they ordered the operators to reduce their call charges by about 50 percent during the next three years.
Vodafone Group plc, Orange plc and T-Mobile International had argued that recommendations by the U.K. telecom regulator Oftel that operators reduce call termination charges are not within its power. Operators say the reductions will severely affect their profitability in a heavily competitive market.
In January, the U.K. Competition Commission released the results of an investigation that said U.K. operators should cut their termination charges by 15 percent by July 25, followed by further cuts of up to 15 percent a year for three years.
Many European mobile operators have been criticized and investigated for charging high termination and roaming rates.