Sunil Mittal gives thumbs up to Chinese telcos move to slash domestic roaming charges

China's three telecom carriers -- China Mobile Communications, China United Network Communications Group and China Telecommunications Corp -- announced steps to scrap domestic long-distance and roaming charges from October 1, 2017, according to China Daily. Sunil Bharti Mittal, chairman of global telecom body GSMA, has welcomed the move.

China Daily said the move to slash rates is expected to drive forward industrial transformation and boost the upgrading and adjustment of real economy.

It reported that li Yue, President, China Mobile -- the country's largest telecom operator -- said the domestic roaming charges account for 8 to 10 per cent of its total revenue, and removal of such fees will have an influence on the company. li was quoted as saying that this will encourage China Mobile to improve operation and management efficiency.

"We are extremely delighted that GSMA's call to bring an end to domestic roaming fees has received resounding support from the leading operators in China, the largest telecoms market in the world," said Mittal.

"The plan to eliminate domestic roaming fees will not just promote customer convenience by ending ‘bill shocks' but help boost usage by customers through adoption of network technologies to augment productivity, innovation and economic growth," he added.

Mittal expressed hope that operators in other countries will take the cue from China's example to usher in similar initiatives, in the interest of the customers.

The China Daily reported that China Unicom said it will increase the coverage of broadband access, develop innovative applications, and upgrade products and services in response to the initiative of "increasing broadband access speed and reducing tariff" by the authority.