In Europe, mobile phone usage abroad shifted on July 1, 2012. Regulators across Europe have lowered the price caps for voice calls and data roaming. For travelers, It was. However, this is not the revolution we were expecting.
The New Limits
The changes were specific. The maximum rate for outgoing calls dropped significantly. The same applied to incoming calls. Data roaming prices have also decreased (measured in megabytes). These are not minor tweaks. These are the methods by which communication operators charge international usage
But the savings are small. Not immediately. The reduction in the amount you pay is real. But it is also modest.
“The price reductions hold back.”
The operators have adjusted internal costs. They didn’t pass every cent of savings to the user. The trend is downward. The course is clear. The final price is currently out of reach.
Those traveling between EU countries get immediate relief on their monthly bills. Spending a weekend in Spain or France eases the shock of a big bill. But the feeling of getting a deal? That was delayed.
The infrastructure changes needed to reduce roaming fees take time to implement. The network needs to be updated. The system needs to be reconfigured. This delay means that the theoretical savings amount does not necessarily match the actual experience immediately.
However, the direction has been set. There is an upper limit. The supplier is under more pressure. The market is forced to compete with smaller margins.
What will happen if the cap goes down again?We don’t know yet. The next adjustment is still on the horizon. The current limits are just the first step.
Gone are the days of scowling at your cell phone bill after a European vacation. It used to be a shock to the system. Now, thanks to the European Parliament’s repeated interventions, the blow to the face has softened a little. The rules for calling and text messages abroad within the EU have been tightened.
In the past, outgoing calls cost up to 35 cents per minute. The limit has been reduced to 29 cents. Calls from other EU countries are also cheaper. They are no longer capped at 11 cents, but 8 cents per minute. Similar cuts were seen in text messages. Prices start at 11 cents per text message and drop to 9 cents per text message.
However, the relief for data users is real.
For the first time, a hard limit has been set for browsing. The limit is 70 cents per megabyte. Before this, customers paid an average of 3 euros per megabyte. Uploading a photo can easily cost double digits. This upper limit changes the calculation of international connections. This prevents financial losses that would otherwise arise from just checking email in Paris or Barcelona.
If the rule does not apply
There is a catch. If you are packing to Switzerland or Norway, look elsewhere. These countries are not members of the European Union. Therefore, they are not subject to these new regulations. Many service providers still consider these destinations to be international territories outside the EU. You may face higher rates there. Check your carrier’s policy before boarding a train or plane.
The way to free roaming
The current cap is only the first step. The EU has a timetable for further cuts. By the summer of 2014, the tariff ceiling will be reduced by another third. For example, Data roaming caps are expected to drop to 20 cents per megabyte.
It also improves portability. Travelers can change service provider abroad without changing their number or SIM card. This also applies to virtual operators. Service providers who do not have their own physical network can also participate, such as supermarkets or travel agencies that offer package deals. European Commissioner Neelie Kroes recognized this freedom of choice. She told Focus magazine that the price difference between domestic and international use may disappear by 2015. This promise covers voice and data.
When does it end?
Our goal is not just to lower the ceiling. This is to remove them completely. This law contains a sunset clause. If the competition stabilizes by the middle of 2016, the prices will naturally fall below the set ceiling and there will be no upper limit. When the market determines the price, they are no longer needed.
We closely monitor the schedule. The transition from expensive roaming prices to almost domestic prices is real. Using a mobile phone abroad has become less of a hassle. But until these rules are completely removed, the cap will remain an essential guardrail. The future is cheap data. But it’s not free yet.
