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Press release

Agreement on interconnection prices

12 January 2000

Swisscom has reached an agreement with six alternative operators regarding interconnection prices for the year 2000. The agreement was reached after commercial negotiations.

The interconnection prices for the year 2000 are some 16-19% below the 1999 prices and some 4-7% below the LRIC (long-run incremental cost) prices calculated on the basis of regulatory provisions and published by Swisscom on 2 November 1999. The reduction puts Swisscom´s prices well below the European average. The agreement was reached with Sunrise, Tele 2, COLT, GTN, Télésonique and STAR Telecom.

The fact that the agreement was reached after commercial negotiations means that a complicated procedure with the regulator could be avoided. In addition to changes to the various time zones, the negotiations also resulted in a 4% reduction for termination prices and a 2% reduction for origination prices, as well as a 15% reduction in the payphone surcharge (surcharge for calls to 0800 numbers from payphones).

The conditions agreed are offered to all telecommunications operators on a non-discriminatory basis. Today, over 30 alternative operators have an interconnection agreement with Swisscom, which offers them access to over three million households in Switzerland. 
 
New interconnection prices (in cents) from 1 January 2000 (replaces Swisscom offer of 2 November 1999):

Regional termination Night-time rate Off-peak rate Standard rate
Price per minute  0,52  1,04  2,08
Set up  0,42  0,84  1,68
Price per minute for a 4-min call  0,63  1,25  2,50
    
National termination      
Price per minute  0,76  1,53  3,06
Set up  0,53  1,06  2,12
Price per minute for a 4-min call  0,90  1,80   3,60

Berne, 12 January 2000

Kontakt

Swisscom AG
Media Relations
3050 Bern

media@swisscom.com