18 Jul 2012

Calls on rival mobile phone networks getting cheaper

12:34 pm on 18 July 2012

The cost of calling others on a rival mobile phone network is continuing to get cheaper.

In its fourth monitoring report of the mobile phone sector, the Commerce Commission says the price gap between calls and texts on the same network, called on-net, and those to rival networks, called off-net, has narrowed.

Radio New Zealand's business editor says the commission has been monitoring costs since the middle of last year, when it decided to slash the cost of switching phone calls and text messages between rival networks.

The latest report says the price difference for mobile calls fell more than 3 (3.3) percent in the three months to July, while the cost of texts between networks fell nearly 7 (6.8) percent.

The volume of voice and text calls also increased.

The commission says the figures suggest competition between the mobile operators is continuing to increase.

Meanwhile, the commission has put off a report on progress in the last year, because of recent industry changes, including the addition of a new entrant, Skinny Mobile, and Vodafone's proposed takeover of TelstraClear.