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Now, location-based mobile tariffs


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Callers will get discounts if they make calls where operators’ network is relatively free

Technology to enable this is provided by US-based Telcordia


Thomas K. Thomas

New Delhi, Nov. 10 After offering seconds-based billing, mobile operators are now looking to introduce location-based tariffs that will enable users get discounts if they make calls from an area where the operator’s network is relatively free.

Called dynamic discount tariffing, the technology lets operators offer discounted call rates based on the consumer’s location and time.

For example, a mobile user driving through the busy Connaught Place in New Delhi during peak hours could get discounted rates if he waits to reach India Gate and then make the call. Subscribers get information on the discounts through SMS or by an interactive voice response system.

The technology to enable this has been brought to India by the US based pre-paid mobile platform provider Telcordia, which is now in talks with operators here.

Speaking to Business Line, Mr Anuj Kapur, Country Head, Telcordia India, said, “We have the technology and we are talking to various operators who are now looking to bring the next level of differentiation in the mobile segment. The operators are keen to implement the new tariff system and it will become a reality soon.”

While subscribers gain from discounted tariffs, operator benefits include better utilisation of network resources and increased total revenues from existing network infrastructure investments.

Similar schemes are already available in markets such as Africa where a number of operators including MTN, Vodacom and Safaricom offer between 45 per cent and 95 per cent discounted rates.

“Innovation in the Indian mobile tariff is yet to happen. So far it’s been all about a flat reduction in tariffs but as competition intensifies, we should see interesting offerings from the operators,” said Mr Ashish Sharma, Head of Telecom Practice in India for Booz & Co.

Related Stories:
Bharti Airtel joins mobile tariff war with per second billing
Tariff war may pressure telecom operators’ revenues

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