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Austrian operators seek 3G refund

December 1, 2003

It has been reported that mobile phone companies in Austria are requesting rebates from the government over fees they paid for 3G mobile phone licenses 3 years ago because the licenses should have cost less.

Six operators - including T-Mobile, Telekom Austria, Hutchison, Telefonica Connect Austria and Telering - filed the case last week. The companies are seeking a deduction on future taxes of Euro 140 million.

If the six companies in Austria are successful, European operators in other countries would seek similar reimbursements from their governments.

Operators in Europe were willing to pay high prices for 3G licenses three years ago but industry experts now believe the licenses were over priced and should have cost a fraction of what operators paid for them. Licenses in Britain and Germany were the most costly. Austrian 3G licenses were one of the cheapest in Europe, each costing around US$100 million.

Some companies have already written down the value of their license.

 


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