04 NEWS
Defence in GSM gateway trial labels dealers ’ £ 413 million damages claim as ‘ unrealistic ’
By Samantha Tomaszczyk
Six telecoms dealers suing the Government for £ 413 million in damages over a 1999 ban on the commercial use of GSM gateways which they say was against EU law have been told in court their claim is “ unrealistic ”.
Speaking at the High Court on July 19 , Michael Taub , forensic expert for the Department for Culture , Media and Sport , said the companies ( see boxout , right ) would only have seen net profit margins of 10 per cent had they been allowed to continue providing GSM gateway services . This is compared to the 58 per
cent net profit margin calculated by the claimants ’ forensic expert , Geoffrey Senogles .
Taub said Senogles had failed to take into account factors such as increased competition from other GSM gateway providers and the possibility that operators would have increased the cost of SIM cards sold to the companies if the service had remained legal .
“ O2 said it would have been able to charge whatever it liked for SIM cards to GSM operators – if this was the case , profits would have been eliminated ,” said Taub .
“ Based on my commercial experience , I would have expected the MNOs to do whatever they could to protect their business – this means increasing prices .”
Taub added that Senogles ’ estimate of 58 per cent
O2 kicks off first 4G promotion for business users through its website
O2 has begun promoting the benefits of 4G services to businesses through its website for the first time .
Like Vodafone , the operator has stated it will launch 4G services during the summer , with some close to the firm saying a launch announcement is now “ imminent ”.
Details have appeared in the B2B section of O2 ’ s official website , rather than in the consumer area .
Taglines such as “ Now ’ s the time for business to consider 4G ” and “ Do more in less time , wherever you are ” have been included .
The operator also revealed it is already in “ serious ” discussions with a number
of customers about how the service could benefit them , and listed reasons why they should consider switching .
It also said the 4G “ revolution ” will not be about increasing broadband speeds – Ofcom rates the technology as six times faster than 3G – but about giving companies a “ competitive advantage ”.
The site read : “ Ultimately ,
O2 website ’ s call to businesses
Trial continues at High Court
the 4G revolution will not be about speed . It ’ ll be about apps , collaboration and competitive advantage . Businesses that plan for it now will see the benefits much sooner .
“ Demand for business mobility is already beginning to outstrip the capabilities of 3G . We ’ re getting so used to working where we like , when we like , that we expect to access the content and services we need as easily as we can at our desks .
“ At the same time , content continues to get richer , with video becoming commonplace as a way of communicating .
“ 4G will make these services more reliable , accessible and practical .”
@ mobilenewsmag
Damages claims Recall Support Services £ 36m Floe Telecom £ 41m EasyAir £ 46m Packet Media £ 89m VIP Communications * £ 62m Edge Communications ** £ 141m
MobileNewsMagazine
* No association with VIP Communications Group of Hull ** No link with Edge Telecom ( UK ) Ltd of Surrey
profit margin was “ unrealistic ”.
However , during crossexamination by the companies ’ counsel , Monica Carss-Frisk , Taub admitted he did not have
Carphone Warehouse Business ( CPWB ) is giving three of its dealers the chance to win a trip for two to New York in its latest SIM-free BlackBerry dealer incentive .
The promotion runs throughout Q3 and is open to the firm ’ s O2 Approved and EE Select partners only .
Each partner has been set an individual purchase target for SIM-free and network-connected BlackBerry BB10 devices including the Z10 , Q10 and Q5 .
The top three dealers who exceed their target by the www . mobilenewscwp . co . uk
any specialist knowledge of the telecoms market and that it was “ very , very difficult ” to estimate profit loss .
Taub said : “ I am not claiming to be an expert in the telecoms industry . There are major uncertainties with regards to what the MNOs would have done . I can only make assumptions with regards to competition – I would not be in a position to say what would have happened . That is very , very difficult .
“ I certainly cannot say what net profit margin they could have made , but if someone had asked me about reasonableness , I would say 10 per cent .”
CPWB launches New York dealer incentive
biggest percentage will be declared as the winners .
Each dealer will fly to New
York and be chauffeurdriven to the Eventi Hotel in Manhattan , where they will spend three nights .
The winners will also receive $ 500 (£ 325 ) in vouchers to spend at designer clothing and accessories chain Barneys or department store Bloomingdale ’ s .
In addition , CPWB will randomly draw and select a partner each month to win £ 100 worth of Love to Shop vouchers or a Red Letter Day experience .
Directors Choice Award Winner 2011 / 2012
Qualitel are looking to acquire & manage additional Vodafone bases in the following areas :
Cheshire Flintshire Clwyd / Gwynedd / Powys Derbyshire Yorkshire |
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Gloucestershire Herefordshire / Worcestershire Lancashire Leicestershire Lincolnshire |
Merseyside / Wirral Humberside Northamptonshire Nottinghamshire Shropshire |
Staffordshire Warwickshire West Midlands |
If you are looking for a full or partial exit from the industry and want to cash in on your hard work , contact Qualitel today on : 08000 407 941 or info @ qualitelecom . co . uk
All communications treated in strictest confidence and will be bound by a suitable NDA .
MN 2013-0730 News p4 . indd 4 24 / 07 / 2013 17:04