Who Will Pay for Mobile Traffic on Fixed Networks?
Virgin Media has said the the cost of routing mobile traffic may be passed on to end-users.
Virgin Media has warned that the cost to fixed players of carrying the additional traffic may need to be covered by end users. According to this report on Total Telecom, some operators are looking to alleviate the stress on their macro networks caused by rising mobile data usage by offloading network traffic onto fixed broadband connections using Wi-Fi hotspots or femtocells.
"'There's an assumption that offloading that traffic is free, but it's not a case of substituting one type of traffic for another. It's extra traffic on the fixed network and someone has got to pay for it,' said Graeme Oxby, managing director of mobile and home phone at Virgin Media.
"'Fixed-line customers will end up paying more, or mobile customers will end up paying more, but someone, somewhere will have to cover the cost of carrying that additional traffic,' he said during a panel session hosted by consultancy firm Arthur D. Little in London."