EU Court Upholds Roaming Caps
June 8, 2010
| 10:40 AM
The European Union's highest court Tuesday upheld a EU law that set caps on the cost that its citizens have to pay to use their mobile phones in another European country.
The Court of Justice upheld the EU law imposing limits on the prices that mobile operators can charge users for roaming in other EU countries, saying it was justified because it was aimed at ensuring the "functioning of the EU's internal market," according to a Court of Justice statement.
"Today's court ruling is significant because it confirms the commission's view that legislation of this type was necessary and that the EU was entitled to impose limits on the prices charged by mobile operators for roaming calls in the interest of the EU's Single Market," the European Commission, the EU's regulatory arm, said in a news release.
The commission notes that since the adoption of the roaming regulation in June 2007, prices for mobile phone calls outside of a user's home country have dropped by up to 70 percent since 2005, while the cost of text messaging also has fallen by 60 percent on average.
"We are disappointed with the decision expressed today by the European Court of Justice and feel that this does not reflect the best interests of the European market. We will of course continue to comply with European regulations in force," according to a spokesman for France Telecom's Orange subsidiary, one of the four European telecom providers that challenged the EU's authority to set roaming rates.
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