Gibraltar's Telecom Industry Says Problems Could Be Solved With Lower Interconnection Rates

Iberia News

25 June 2001

This story is reproduced by kind permission of Iberia News at: http://www.iberianews.com

In comments made to Iberia News it seems the problems being encountered by Gibraltar over the 350 international telephone code could be solved once Gibtel/GNC merger takes place and a reduction in interconnection costs between the two takes place.

According to the same industry sources, although the issue involves a complex set of reasons why Gibraltar's telephone system cannot be accessed from outside as indicated in numerous cases due to the Spanish restrictions imposed on the 350 code, it has been highlighted that one of the main causes of concern is the present international system which sees carriers looking for the cheapest routes through which to call. The direct route to Gibraltar is not seen as being cost effective against carrier points such as Spain.

This they say could be countered by offering a cheaper alternative to the international industry if the cost incurred between GNC and Gibtel was reduced instead of leaving it at its present high level.

As the carriers look for a cheaper alternative, most carriers are now focusing on the Spanish system, which has one of the lowest rates in the market. This has inevitably led to international carriers opting to carry the 350 number code through a Spanish routing system which has imposed restrictions on the Gibraltar 350 code.

By reducing the interconnection cost between Gibtel and GNC, the local telecommunications network could offer a cheaper alternative which would lead to calls directed to Gibraltar directly from the original carrier instead of opting to go through Spain.

Other options have also been pointed out such as the 0044 code. However concern has been expressed at allowing the 0044 code to take priority over the 350 code and reducing Gibraltar's control over its own telephony affairs.

Businesses have recently highlighted the numerous complaints being made of calls not reaching Gibraltar as Spain continues to restrict access and the direct line to Gibtel continues to be higher in cost than the Spanish carriers. Only direct liason with carriers will be able to solve this problem although the network is becoming so large the problem will continue unless a determined effort is made to find a definite solution.

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