Business challenges in EU Commission’s Roam-like-home and fair usage policies

Starhome Mach, a global provider of mobile inter-carrier roaming and M2M/IoT services, recently analysed the implications of the new European Union (EU) regulations eliminating operators’ ability to charge for roaming within EU borders.

Permanent roaming and fair use issues are expected to have the greatest effect on operators’ bottom lines.

With permanent roaming, consumers may buy and use a SIM from a country with significantly lower monthly costs than their country of residence. According to Starhome Mach’s analysis, with the regulations reducing roaming fees already in place, permanent roaming has grown by 45%, with average data per permanent roamer at 2MB/day, over the past year. Starhome Mach predicts that with the new regulations coming into force, permanent roaming traffic will further increase significantly.

The new regulation is expected to exacerbate the current situation, where inbound roaming traffic cannibalise the domestic market and abuse network resources. In other cases, permanent roaming will increase roaming costs for the outbound MNOs, which can lead to an increase in domestic prices to compensate for their losses. Meanwhile, various players may take advantage of arbitrage to sell SIM cards in foreign countries.

Fair usage is another issue expected to affect operators’ bottom lines, where cross-border plan abuse may lead to significant losses. Based on Starhome Mach Business Management analysis for roaming traffic, last year’s summer travel season alone had a 50% increase in the number of users and a 50% increase of average data per user, totaling more than 200 MB/month per user. When compared to the average domestic usage of more than 1,000 MB/month, data consumption while roaming is expected to more than quadruple under the new regulations.

Starhome Mach’s new solutions address both permanent roaming and fair usage by containing and minimising the impact of the new regulation on the MNOs’ business.

With the permanent roaming solution, inbound and outbound MNOs get visibility, detailed analytics, optimisation, and protection tools. Focusing on the business need and bottom line, Starhome Mach’s solution helps detect such abuse, and provides the MNO with the knowledge required to take actions to reduce the impact on its business.

Starhome Mach fair usage solution examine domestic and foreign usage, using advanced analytics to detect and apply surcharges, where applicable, while eliminating billing complications, all while keeping the subscriber fully informed.

Its rules engine allows both home and inbound operators to optimise their costs, while providing better visibility and control. The solutions help operators protect long-term recurring revenue and customer satisfaction, while automatically creating new upsell opportunities.

“For consumers, the borderless EU is a great boon to their telecommunications needs,” said Starhome Mach CEO,Itai Margalit. “However, with the exponential increase in data roaming, operators will need to implement solutions that allow them to closely track and analyse the changing reality and take needed actions on both the retail and wholesale levels while ensuring they keep their customers informed.”

Comment on this article below or via Twitter: @IoTNow_ OR @jcIoTnow

RECENT ARTICLES

Siemens closes Brightly acquisition, elevating software offering for building operations

Posted on: August 5, 2022

Siemens Smart Infrastructure (SI) has completed the acquisition of Brightly Software, a U.S.-based software-as-a-service (SaaS) provider of asset and maintenance management solutions. The acquisition elevates SI to a position in the software market for buildings and built infrastructure. It adds Brightly’s well-established cloud-based capabilities across key sectors – education, public infrastructure, healthcare, and manufacturing –

Read more

Visteon technology enriches the quality of automotive display graphics

Posted on: August 5, 2022

Van Buren Charter Township, United States. 03 August, 2022 – Visteon Corporation, a global technology company serving the mobility industry, has developed an integrated system that dynamically improves the vehicle display contrast ratio. The company’s solution uses proprietary advanced algorithms to control the full array local dimming display. A matrixed array of LEDs behind the

Read more
FEATURED IoT STORIES

9 IoT applications that will change everything

Posted on: September 1, 2021

Whether you are a future-minded CEO, tech-driven CEO or IT leader, you’ve come across the term IoT before. It’s often used alongside superlatives regarding how it will revolutionize the way you work, play, and live. But is it just another buzzword, or is it the as-promised technological holy grail? The truth is that Internet of

Read more

Which IoT Platform 2021? IoT Now Enterprise Buyers’ Guide

Posted on: August 30, 2021

There are several different parts in a complete IoT solution, all of which must work together to get the result needed, write IoT Now Enterprise Buyers’ Guide – Which IoT Platform 2021? authors Robin Duke-Woolley, the CEO and Bill Ingle, a senior analyst, at Beecham Research. Figure 1 shows these parts and, although not all

Read more

CAT-M1 vs NB-IoT – examining the real differences

Posted on: June 21, 2021

As industry players look to provide the next generation of IoT connectivity, two different standards have emerged under release 13 of 3GPP – CAT-M1 and NB-IoT.

Read more

IoT and home automation: What does the future hold?

Posted on: June 10, 2020

Once a dream, home automation using iot is slowly but steadily becoming a part of daily lives around the world. In fact, it is believed that the global market for smart home automation will reach $40 billion by 2020.

Read more

5 challenges still facing the Internet of Things

Posted on: June 3, 2020

The Internet of Things (IoT) has quickly become a huge part of how people live, communicate and do business. All around the world, web-enabled devices are turning our world into a more switched-on place to live.

Read more

What is IoT?

Posted on: July 7, 2019

What is IoT Data as a new oil IoT connectivity What is IoT video So what’s IoT? The phrase ‘Internet of Things’ (IoT) is officially everywhere. It constantly shows up in my Google news feed, the weekend tech supplements are waxing lyrical about it and the volume of marketing emails I receive advertising ‘smart, connected

Read more
IoT Newsletter

Join the IoT Now online community for FREE, to receive: Exclusive offers for entry to all the IoT events that matter, round the world

Free access to a huge selection of the latest IoT analyst reports and industry whitepapers

The latest IoT news, as it breaks, to your inbox