Legal Skype would raise cost of UAE calls - Etisalat
by This email address is being protected from spam bots, you need Javascript enabled to view it on Friday, 15 May 2009
Etisalat and rival du would have to hike the cost of local fixed line calls if Skype and other VoIP based software were allowed in the UAE, the company’s chairman told Arabian Business on Friday.
“If Skype or other types of Voice Over IP (VoIP) is introduced in the UAE, that will affect the revenue not only for us, but for also for du,” said Mohammed Omran in an interview at the World Economic Forum in Jordan.
“In the UAE, quite a good portion of revenue comes from international calls and the tariffs in the UAE are still unbalanced. Local charges are much lower than cost, especially for fixed line.”
Etisalat charges private users AED15 per month for unlimited local, fixed line calls, and AED50 for business users.
“This is below cost and normally this is partly compensated with international calls. We have called several times for readjustment of the tariff to link it with the cost, so that we would be able to lower the cost of international calls,” Omran said.
The cost of line rental and local calls should be in line with other countries, Omran said.
Etisalat does not know if and when VoIP software will be legalised in the UAE, he added.
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READERS' COMMENTS
Posted by Kalid on Monday 25 May 2009 at 21:02 UAE time
I never knew the value of skype until I came to Bahrain, the TRA and Government here sure don't care about Batelco at all! VoIP was legalized since 2005!!
I got the seimens thing which does both normal and IP-based calls.. other smaller operators offer 80% off normal IDD batelco rates.. competition dont you just love it!
:) This is good!
Posted by Andy, Taipei, Taiwan on Monday 25 May 2009 at 09:24 UAE time
and they more then gouge you on your cell phone telecom rates. Their monthly fees for Internet service planes of 460 DHMS. per month is more than 5X of what they charge here in Taiwan on their monthly broadband services so that is like a 500% tax on top of their monthly fee!! The local telecom company is used to gouging their customers and now finds it difficult to offer their customers lower prices.
Skype and other VOIP services should be allowed in the UAE. Even in communist China this is allowed. By not allowing VOIP services the UAE would be even more strict than a communist country like China. To be competitive in the middle-east the UAE needs to allow the people in the UAE access to VOIP services such as Skype. They need to stop from trying to milk every penny out of every person in the UAE.
Thumbs up to Arabianbusiness for allowing all the people to post their opinions and feelings about the telecom sector in the UAE.
Posted by Mark Elliot on Monday 18 May 2009 at 16:36 UAE time
Despite blocking Skype, I've seen many people still using it without problems. There are many ways to get around blocked sites and services!
Posted by SK on Monday 18 May 2009 at 11:12 UAE time
There is no point in arguing with Etisalat since it remains a virtual monopoly despite competition in every other sector and around the world. The only way to tackle Etisalat is as follows:
1. Have a DU mobile since their charges are by seconds both on national as well as International Calls.
2. Limit/Reduce your tele-conversations as much as possible.
3. Use VOIP with VPN activationthrough ADSL with fixed billing.
4. Use SMS/Email and Chat wherever possible.
5. Make calls during off-peak hours.
6. Use fixed line for local calls instead of mobile.
7. Have good cordless phones (Siemens preferred) against fixed lines to increase convenience at home and elsewhere.
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