INTERCONNECTION New Challenges Dr. ZOUAKIA Rochdi ANRT

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INTERCONNECTION New ChallengesDr. ZOUAKIA
RochdiANRT
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INTRODUCTION
There are many issues related to interconnection
that the regulator should face up in order

• to adapt the legal framework of interconnection
  to the international context and to the
  development of technology.

• To allow visibility to operators.

• To develop telecommunications market.

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• The main challenges to be solved by the regulator
  are
• the definition of relevant market and the
  determination of SMP
• the challenge of long run incremental cost
  (LRIC) method
• Unbundling of local loop
• Number portability
• Carrier pre-selection.

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CONCEPTS OF RELEVANT MARKET AND SMP

• Most of legislations on interconnection stipulate
  that only the operators who hold a market share
  higher than X of a telecommunications service
  are liable for the applications of these
  particular provisions
• Publication of a technical and tariff reference
  offer
• establishment of separate accounts
• orientation of the interconnection tariffs
  towards the costs.

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CONCEPTS OF RELEVANT MARKET AND SMP

• The concept of relevant market is a source of
  important debate for regulators and it is a
  complicate notion The definition of the
  relevant market in both its product and
  geographic dimensions often has a decisive
  influence on the assessment of a competition
  case.
• Relevant market could be - Market of
  fixed telephony
• -
  Market of mobile telephony
• -
  Market of leased lines
• -
  Market of Interconnection.
• Its necessary for the regulator to determine
  the criteria of the relevant market and to
  establish the methods of assessing the position
  of operators in the market.

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INTERCONNECTION PRICING LRIC
Method of calculating interconnection cost based
on LRIC Approach.
The LRIC method will allow the regulator to
assess the orientation the interconnection tariff
to costs.
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INTERCONNECTION PRICING

• Two approach of LRIC
• Top Down Based on the current network and the
  elements of the operators cost accounting
• Bottom Up optimization of the network using
  the best available technology.

• the LRIC enable the respect of the following
  principles
• principle of relevancy
• principle of efficiency
• principle of economic optimum
• principle of financial viability
• principle of fair competition

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INTERCONNECTION LOCAL LOOP UNBUNDLING
Important competitive stakes

• Diversity of choice for customers

• Reduction of the access cost to the market.
• efficient means for the new entrant ( Direct
  relationship with the customer)

Opportunities for the development of economy via
the development of internet access. opportunity
to regional development because of the promotion
of competition on the segment of local loop
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INTERCONNECTION LOCAL LOOP UNBUNDLING

• Expected tools to establish the unbundling
• To Launch public consultations in order to
  assess the market and to take in account the
  needs of operators.
• To establish work groups composed of different
  actors of the telecommunication market in order
  to define the elementary conditions of
  unbundling.
• To prepare a legislative framework which
  determine the obligations and the principles of
  this issue.

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INTERCONNECTION NUMBER PORTABILITY

• Number portability is the possibility for a
  customer to keep his phone number when he/she
• changes the geographical zone
• changes the operator
• changes the telephonic services

The portability foster the development of
competition and the satisfaction of customer
needs and also resolve the problem of customer
mobility.
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INTERCONNECTION NUMBER PORTABILITY

• Necessity of establishing a juridical framework
  for number portability by taking in account
  technical and financial stakes of this issue.
• What should be done ?
• launching public consultation on this issue
• Requesting from incumbent operator the furniture
  of this service for new entrants
• Configuration of numbering tables
• Analysing technical models relating to number
  portability
• Determination of the charges resulting from this
  service
• Creation of a study group including operators,
  regulators, providers of equipment and eventually
  the representative of customer associations.

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INTERCONNECTION CARRIER PRE-SELECTION
Carrier pre-selection is a technique whereby the
customer keeps his telephone connection to the
incumbent operator. All the outbound calls are
however processed and invoiced by an alternative
operator, using the interconnect between the
incumbent and the new operator. The
introduction of this service will be significant
with the liberalisation of the fixed telephonys
market.
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INTERCONNECTION NEW LICENCES
Introduce adaptation to the legal framework of
interconnection in order to take in account the
specification related to advanced services like
UMTS, IP telephony, GPRS etc