BEREC REPORT ON IMPACT OF FIXED-MOBILE ... - berec - Europa

BoR (11) 54
End users’ perceptions may also be important. For example, some consumers may not
consider mobile broadband as providing the necessary security to carry out online
banking activities. 49
A further consideration is whether consumers have particular ways of using fixed and
mobile services 50 e.g. use mobile when on the move, use fixed when in the home.
In relation to the above:
PTS (Sweden) noted that for wholesale markets 4and 5 51 wireless alternatives
do not meet the functionality demands of wholesale customers and would not
be considered a substitute according to the hypothetical monopolist test.
HAKOM (Croatia) considered that retail mobile broadband access was not a
substitute to fixed broadband access due to lower coverage by HSDPA signal
and the fact that quality and speed depend on the number of simultaneous
users in the mobile network.
CRC (Bulgaria) noted that technical characteristics of the mobile service
(mobility, specific equipment) are the main reason why mobile and fixed
services do not belong to the same retail market.
NMHH (Hungary) noted that one reason for non-substitutability at the retail level
was differences in consumer usage and that the product characteristics
(functionality, quality) are different.
Some NRAs noted that a fixed call can be substituted with a mobile call,
however, the reverse is not true (due to the mobility associated with mobile
access).
ANCOM (Romania) noted that one reason for non substitutability of mobile for
fixed access at a retail level is that fixed access is associated with an entire
household, but mobile access is perceived as personal and usually used by one
person.
Types of consumer with mobile only access - UK
In the UK Ofcom has found it more likely that low income households have mobile
access only. A consumer survey in 2008 found that 24% of UK adults with an income
of less that £11.5k used mobile voice services only, compared to only 5% for those with
49
Some consumers might perceive health issues (e.g. around radio waves) associated with prolonged mobile use which
might influence the desire to substitute from fixed to mobile (for high volume use).
50
For example, a narrowing in the difference between the average call length for fixed and mobile calls could be one
possible indicator of FMS.
51
Market 4 is wholesale (physical) network infrastructure access (including shared or fully unbundled access) at a fixed
location and market 5 is wholesale broadband access from the EC Recommendation on relevant markets
40