This Explanatory Statement describes Oftel's proposals for modifications to the Telecommunications Act licences held by mobile operators. The modifications would introduce new provisions requiring the Licensees to provide number portability to other operators on a reciprocal basis. The modifications also set out rules on the allocation of costs and charges associated with portability and provide for Oftel to resolve disputes about the terms and conditions on which portability is provided by one operator to another.
Chapter 4 - Proposed rules on mobile number portability
Annex A - Proposed licence condition on number portability
Annex B - Draft Functional Specification covering mobile number portability
Comments are invited by 15 August 1997 on the measures set out in this Statement. There will then be a further period up to 29 August 1997 during which comments are invited on any submissions made to Oftel during the initial period.
Written comments should be submitted to:
Adam Jackson, Consultation on Mobile Number Portability, Oftel, 50 Ludgate Hill, London EC4M 7JJ
Written comments will be made publicly available in Oftel's Library except where respondents indicate that their response or parts of it are confidential. Respondents are therefore asked to separate out any confidential annex which is clearly marked as such. In the interests of transparency, respondents are requested to avoid confidentiality markings wherever possible.
Comments on this document can also be sent to Oftel on the Internet (if they are relatively short) by filling in the form on the Web pages or by using the following e-mail address:
press.office.oftel@gtnet.gov.uk
Oftel intends to set up a link between this document on Oftel's pages and any responses placed on respondents' own Internet pages. Please contact Cate McLaurin at Oftel (tel: 0171 634 8752) to organise this.
Confidential responses should not be sent via the Internet.
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1.1 This Statement explains Oftel's policy on number portability in the mobile telephony market and sets out proposals for the introduction of mobile number portability by July 1998. Number portability is a facility whereby a customer can keep their phone number when changing from one network operator to another. Number portability has already been introduced by fixed network operators, both for 'geographic' numbers (ordinary residential or business numbers) and for 'non-geographic' numbers (used for specially tariffed services such as freephone, local rate, national rate and premium rate). Oftel considers that number portability should now be introduced in the mobile market in order to ensure that competition between mobile telephony networks is fully effective. At present customers are discouraged from changing mobile operator because they must change their phone number when they do so. An independent expert economic study has concluded that the introduction of number portability would increase competition and create net benefits of at least £98 million in the first ten years. Oftel therefore considers that mobile number portability must be introduced as soon as possible.
1.2 In order to ensure the effective and early introduction of mobile portability, Oftel is proposing modifications to all mobile operators' licences. These modifications:-
1.3 In addition to portability of mobile numbers, these modifications cover the provision of portability of geographic and non-geographic numbers by mobile operators.
1.4 Oftel is also seeking views on a draft modification to the Number Portability Functional Specification to include detailed rules for the provision of mobile number portability.
1.5 Publication of this Statement coincides with statutory consultation on the modifications. At the end of the statutory consultation each mobile operator will be invited to consent to the modifications. The proposed timetable for incorporating the modifications into licences is set out below.
| Deadline for responses to Statutory Consultation: | 15 August 1997 |
| Deadline for comments on responses: | 29 August 1997 |
| Letter to licensees seeking content: | end of August 1997 |
| Deadline for consent: | middle of September 1997 |
| Modifications: | end of September 1997 |
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2.1 Number portability is a facility provided by one operator to another which enables customers to keep their telephone numbers when switching their business between those operators. Oftel is committed to the introduction of number portability for all types of services. Changing number can be a major inconvenience for customers and a barrier which prevents them from exercising choice and taking advantage of growing competition in the telecommunication markets. Number portability means that customers can change to a new operator without the hassle of having to change their number. At present mobile phone users must change their number when changing supplier. Oftel considers that the introduction of number portability between mobile operators is essential to promote full competition and to ensure that consumers get a good deal in the mobile market. Oftel is therefore proposing modifications to mobile operators' licences, in order to ensure the early, efficient and effective introduction of mobile number portability.
2.2 These proposals are based on extensive consultation and economic evaluation. In March 1996 Oftel began consulting operators on mobile number portability. In August 1996 Oftel published a consultative document (Numbering: Options for the Future 2), which invited comments on whether and when to introduce mobile number portability. The responses to this consultation showed strong support for its early introduction. In January 1997, Oftel published a Statement on The National Numbering Scheme, which confirmed Oftel's intention to extend number portability to mobile services.
2.3 Oftel has recently commissioned an independent expert economic evaluation of mobile number portability. This study concluded that the benefits significantly outweigh the costs and recommended that mobile number portability should be introduced in the UK as soon as possible. Customer surveys, conducted as part of the study, showed that business users consider that the need to change number is the biggest problem associated with changing mobile operator. The number of corporate users willing to switch mobile operator would more than double from 41% to 96% if portability was introduced. The study concluded that portability would bring a net benefit to the UK economy of at least £98million over a ten year period.
2.4 The customer surveys conducted as part of the economic evaluation provide clear evidence that customers are reluctant to consider changing network operators if this means that they have to change their phone number. Number portability therefore removes the main obstacle to customers switching operators. As well as creating substantial direct benefits (eg customers do not have to incur costs of changing stationery; fewer wrong numbers are dialled), portability provides significant indirect benefits, assisting greatly in the creation of genuine competition for all categories of customers, driving down prices, encouraging innovation and raising quality. The Monopolies and Mergers Commission has already concluded, in the context of an inquiry into number portability in fixed networks, that number portability is a key issue in the development of network competition.
2.5 In April 1997 Oftel published a Statement on Fair Trading in the Mobile Telephony Market. This identified the absence of portability as one of the main barriers to competition in the mobile market. The Statement noted that the extent of progress towards achievement of mobile portability will be a significant factor in determining the effectiveness of competition in the mobile market. Achievement of full network competition will remain inhibited until consumers have the ability to port mobile numbers, at minimal cost.
2.6 Entry into the mobile market is limited by spectrum scarcity. It is therefore all the more important to remove any barriers to competition between the limited number of market players - in order to ensure a dynamic, fully competitive market. The introduction of number portability will remove the most significant remaining obstacle to competition and should help bring dynamic benefits to all mobile customers of greater innovation and variety of services, better quality and lower prices.
2.7 Oftel would expect the immediate impact of number portability to be most marked in the case of analogue customers who wish to move to a digital network. At present, Cellnet and Vodafone enable their existing analogue customers to migrate to their digital networks without changing number. If, however, the customer wishes to move to a digital network run by another operator he must, at present, change number. Oftel considers that this gives Cellnet and Vodafone a competitive advantage in the market for customers moving from analogue to digital networks. Oftel is currently investigating a formal complaint that the ability of Cellnet and Vodafone to migrate their existing analogue customers to their digital networks without a number change acts in an anti-competitive manner and amounts to undue preference.
2.8 Portability will also become increasingly important as the mobile market develops. The growing use of the mobile phone as a substitute for a fixed telephone means that the importance of portability will increase over time. It should be noted that, at present, Oftel is not proposing number portability between fixed and mobile services. This is something, however, which will need to be considered further in the future. Also looking ahead, the introduction of 'third generation' mobile communications (known as UMTS) will make it all the more important to remove remaining barriers to competition which may hinder new market entrants as well as existing operators: in the future, number portability should be available for existing mobile subscribers who wish to migrate to the new UMTS services, which may be offered by new operators as well as existing market players.
2.9 Number portability should promote the development of a more dynamic mobile market. New forms of service provision and resellers may emerge in the future. Number portability between network operators may enable service providers to give their customers a better deal. Number portability between service providers should further promote competition. Thus portability should help the development of more innovative service providers and will encourage and increase service, as well as network, competition.
2.10 The UK is not alone in looking at mobile number portability. Mobile portability is due to be introduced in the Netherlands and the USA in 1999. It is actively being considered in many other countries and is due to be reviewed at an EU level in 1998.
2.11 Oftel believes that mobile operators should provide number portability at the earliest possible opportunity. Customers want number portability now. In view of the economic benefits to the UK, the independent expert economic evaluation (referred to in paragraph 2.3 above) has recommended that it should be introduced as soon as possible. Its introduction is all the more important given that the absence of portability restricts competition. In particular, portability should be rapidly introduced in order to ensure that it is available to the significant number of subscribers who will be migrating from analogue to digital networks during the next few years.
2.12 Oftel has discussed implementation dates with operators. An independent technical expert has also advised Oftel on the earliest practical date by which mobile number portability could be implemented. On the basis of this consultation and advice, Oftel considers that mobile operators must provide number portability by 30 June 1998 at the latest. In the light of this Statement, Oftel would expect mobile operators to begin making any necessary arrangements to ensure that they can provide portability by that date.
2.13 Oftel considers that modifications to mobile operators' licences will be required in order to ensure the rapid introduction of portability. At present a mobile operator is not required to provide portability until it has been shown that portability is technically feasible, a cost benefit analysis has been carried out, another operator is prepared to provide reciprocal portability, and a direction has been made to the Licensee to provide portability. The current licence provisions do not provide for the Director General to determine how the costs of providing portability should be borne. Oftel considers that these licence provisions no longer reflect the current technical or economic understanding of number portability; they would create unnecessary delays in the introduction of portability; and they provide unnecessary potential for protracted disputes about the terms and conditions on which portability is to be provided.
2.14 In April 1997 Oftel published a Statement on Number Portability: Modifications to Fixed Operators' Licences. This set out proposals for incorporating a new number portability condition into all fixed operators' licences and stated that similar modifications would subsequently be proposed for mobile licences. In the Statement on Fair Trading in the Mobile Telephony Market, also published in April, Oftel signalled its intention to bring the regulatory system for the mobile market more into line with the rules applying to the fixed network operators. Oftel is currently in the process of making modifications to all fixed operators' licences, requiring them to provide number portability. Oftel considers that similar rules on number portability should be applied to mobile operators.
2.15 Oftel is therefore proposing a modification to mobile operators' licences. The text is set out in Annex 1. It is intended that this licence modification will enable portability to be introduced efficiently and effectively in response to demand. In drafting the licence modifications, Oftel has been guided by the principles contained in the 1995 MMC report on number portability. The modifications are based on the licence condition which the MMC proposed for BT and on the MMC's principles for cost allocation.
2.16 As a general principle, Oftel considers that operators should be able to provide portability for any numbers which they have been allocated. The proposed licence modification therefore provides for portability not only of mobile numbers but also of 'geographic' numbers (ordinary residential and business numbers) and 'non-geographic' numbers (specially tariffed services such as freephone, local rate, national rate and premium rate). Portability of geographic and non-geographic numbers is currently being introduced amongst fixed network operators. Mobile operators, under the terms of their licences, are entitled to receive and use allocations of geographic numbers and non-geographic numbers. Oftel considers that any mobile operators offering geographic or non-geographic services should be able to provide portability for such numbers.
2.17 The proposed licence modification is also designed to ensure that customers can keep their phone numbers when they change mobile service provider as well as when they change operator. At the moment some service providers already offer this service. The proposed licence modifications contain provisions requiring mobile operators to ensure that this is offered by all service providers who sell their airtime.
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3.1 There are currently four mobile phone operators in the UK: Vodafone Ltd, Telecom Securicor Radio Ltd ('Cellnet'), Mercury Personal Communications Ltd ('One2One') and Orange Personal Communications Services Ltd ('Orange'). Cellnet and Vodafone were both launched in 1985 and each now operates two networks - one analogue (known as TACS) and one digital (known as GSM). In 1991 new mobile network licences were granted to Orange and One2One and each now operates a digital network. Digital subscribers include not only customers buying a mobile phone for the first time but a significant proportion of customers migrating from the analogue networks.
3.2 At the beginning of April 1997 a total of nearly 7.1 million mobiles were connected to the four operators' networks. The market shares of each operator, in terms of total number of subscribers, are:
Table 1 Mobile telephony market: total number of subscribers
| All subscribers 1.4.97 | |
| Cellnet | 2,692,000 |
| Vodafone | 2,867,000 |
| One2One | 620,000 |
| Orange | 894,000 |
Source: Fintech Mobile Communications
3.3 When Vodafone and Cellnet launched their mobile networks in 1985 they were prohibited from selling airtime on their networks directly to the public. Retailing of mobile airtime was conducted by a separate tier of airtime retailers or resellers, known as 'Service Providers'. Vodafone and Cellnet were required to provide airtime on a wholesale basis to any Service Providers, subject to certain conditions. Thus an individual or business wanting to use a mobile phone would buy it from (and have a contract with) a Service Provider, not the network operator. When Orange and One2One were granted mobile network licences in 1991 they were under the same obligation as Vodafone and Cellnet to sell wholesale to Service Providers on request, but they were also permitted to sell retail airtime directly to the public, which they chose to do. Vodafone and Cellnet were also permitted to sell retail airtime direct to the public when they received new licences in December 1993 and March 1994 respectively. They have not, so far, chosen to do this. Under policies announced in a Statement made in April 1997, Fair Trading in the Mobile Telephony Market, the licences of Orange and One2One will be modified in the near future to remove their obligation to sell wholesale to service providers.
3.4 Number portability is already available to many customers on the fixed networks, and will gradually be extended to all customers and services on fixed networks. Portability of 'geographic' numbers (ordinary telephone numbers of subscribers located in a specific geographic area of an operator's fixed network) is currently being offered by 11 operators in the UK. Oftel anticipates that within two years this will be available to most customers in the UK. At the moment approximately 5,000 numbers are being transferred each week. This figure will rise steadily over time. In June 1997 number portability was extended to 'non-geographic' numbers such as freephone (eg 0321, 0800), local rate (eg 0345, 0645, 0845) and national rate (eg 0541, 0870), with premium rate services following at the end of the year. As customers grow accustomed to number portability for geographic and non-geographic services, they will increasingly expect number portability to be available for mobile numbers as well.
3.5 Oftel is currently in the process of modifying all fixed operators' licences, to incorporate new provisions requiring them to provide number portability to other operators on a reciprocal basis for geographic and non-geographic numbers. Mobile operators are also entitled to use geographic and non-geographic numbers. In particular, some mobile operators currently hold allocations of non-geographic numbers. Oftel considers that portability should be available for these numbers. Given that non-geographic services offered by mobile operators are competing directly with those offered by fixed operators, such numbers should be capable of being ported to any other operator (whether a mobile or fixed operator). Similarly, if any mobile operator was to offer a service to a fixed location, using geographic numbers, those numbers should be portable.
3.6 Oftel considers that any mobile operator offering geographic or non-geographic services should take steps to ensure that the numbers used for such services are capable of being ported as soon as possible. Methods of implementation of geographic and non-geographic portability have already been agreed across the UK telecommuni-cations industry. Those mobile operators who provide such services should consider how to implement portability in accordance with these industry standards. Given that fixed operators are already offering such portability, implementation should be reasonably straightforward and should be possible by 30 June 1998.
3.7 In August 1996 Oftel published a consultation document on the National Numbering Scheme ('Numbering: Options for the Future.2') which invited comments on a proposal to extend number portability to all mobile services. It also asked whether there were any types of number which should not be subject to portability. Responses on this question were received from mobile operators, fixed network operators, user groups and businesses. None of these opposed the principle of extending number portability to mobile services. Considerable support was expressed by user groups, business and fixed network operators.
3.8 Although they did not express opposition to mobile number portability, responses from most of the mobile operators were relatively unenthusiastic. Cellnet and Vodafone questioned whether there was a real demand for mobile number portability and whether it would provide significant benefits. One2One expressed support for mobile portability, whilst noting that the absence of portability may not deter customers from switching operators. Only Orange strongly supported the early introduction of mobile portability - on the grounds that it would increase competition in the market. They suggested that the portability offered by Cellnet and Vodafone to their own customers for analogue to digital migration is evidence of customer demand and indicated that this was supported by their own market research.
3.9 In contrast to many of these views, a significant number of fixed network operators (public telecommunication operators and cable companies) supported the introduction of mobile portability. It should be noted that these companies would be involved in the routing of calls to mobile numbers which have been ported, since the majority of calls to mobiles originate on fixed networks.
3.10 Amongst user groups, there was support from the Business Advisory Committee on Telecommunications, the Telecommunications Users' Association, the Telecommunication Managers' Association, the English Advisory Committee on Telecommunications, the Northern Ireland Advisory Committee on Telecommuni-cations and the Scottish Advisory Committee on Telecommunications. There was also strong support from a number of large businesses, especially in the financial services sector. These responses would appear to contradict the assertions of some mobile operators that there is no user demand for mobile portability.
3.11 In July 1996 the Network Interoperability Consultative Committee (NICC), an industry group which provides advice to Oftel on significant technical issues related to policy developments, agreed to examine the technical feasibility of providing portability and to consider implementation options. A mobile number portability task group was established to undertake a feasibility study. The group has concluded that mobile number portability is technically feasible and that there are no fundamental technical barriers to its introduction. The group has studied different technical possibilities and recommended a general implementation approach known as the Signalling Relay Solution, whereby routing enquiries would be relayed between the exporting (donor) and importing (recipient) networks and routing instructions returned to enable a call for a ported number to be onward routed appropriately. This approach is compatible with anticipated future GSM services. The group is now close to agreeing the high level service description of this solution, which specifies the interconnect requirements for participating networks. The detailed approach being examined would require minimum implementation work by the donor operator and utilises standard interfaces and signalling protocols, thus minimising the need for system development.
3.12 Oftel has undertaken a round of bilateral discussions with operators and suppliers, in order to establish the earliest date by which this solution could be implemented. In addition, Oftel has commissioned an independent expert technical consultant to examine the technical solution and to advise on a realistic timescale in which all mobile operators could be expected to implement this solution. The main bottleneck identified is the availability of the signalling relay functionality that needs to reside in the donor network in order for an operator to respond to a request from another operator to port numbers out of its network. Mobile number portability signalling relay solution capability can be expected to be available from suppliers from around mid-1999 as part of their regular series of software releases. Oftel expects operators to enter into detailed dialogue with their suppliers in the immediate future to ensure that requirements for implementation of the signalling relay solution are captured and incorporated into such releases on that timescale.
3.13 Nonetheless, initial implementation is not dependent on these software releases. Given that the basic signalling functionality for the signalling relay function, that is required to be implemented in donor networks, already exists, earlier implementation is possible based on custom solutions accommodated within current software builds. Discussion with operators has revealed that one mobile operator already possesses functionality that should be able to provide at least some of the necessary capability, whilst another operator is due to install such functionality around Easter 1998. A third operator shares the same supplier as these two, and a fourth operator is working on an in-house product which should be completed in May 1998. On the basis of independent expert advice, Oftel considers that the scope of the capability that is required means that all operators should be able to introduce the necessary functionality to implement a custom-built solution, providing the capability to export numbers, by 30 June 1998. Oftel expects operators to urgently develop appropriate plans with their suppliers to enable this.
3.14 Operators have also emphasised their need to modify existing billing and administration systems to deal with the porting process. Estimates of elapsed time needed to modify such systems ranged from six months to two years; one operator suggested he was not in a position to commence any such work at present because of other priorities. Oftel does not see the modification of these systems as a one-off exercise, but rather a phased series of modifications and enhancements occurring over an extended time period as the networks move from an early implementation through to an environment that encompasses a wider range of processes and more efficient operation as the amount of ported numbers grow. This is the manner in which the situation has developed with geographic number portability. Hence, Oftel expects that the operators, together with their service providers where appropriate, will work urgently and constructively in the group already established under the IPF umbrella (see below) to agree the minimum set of processes between them for early implementation, and also individually address their minimum internal requirements for system modifications to enable the June 1998 date for availability to be achieved.
3.15 An industry focus group has been established, under the umbrella of the Interconnection Policy Forum (IPF - an industry/Oftel working group which considers current interconnection issues), to examine commercial issues and to agree processes for providing portability. This is working in co-ordination with representatives of the mobile service providers. The group is currently drafting a high-level service description of mobile number portability and is shortly expected to begin work on a process manual, which sets out the procedures for dealing with portability orders.
3.16 In January 1997 Oftel commissioned an independent expert study by Ovum Ltd to assess the economic impact of introducing mobile number portability. The principle objective of the study was to determine whether the introduction of mobile number portability would be in the public interest, in that, at a national level, the benefits outweigh the costs. To this end, the basic objectives of the study were:
(i) to evaluate the benefits to be gained by telecommunications subscribers from the introduction of mobile number portability and establish how those benefits will be distributed.
(ii) to evaluate the costs likely to be incurred due to the introduction of mobile number portability and establish where those costs will fall.
(iii) to provide an estimate of the costs and benefits from a national perspective.
3.17 In addition to an evaluation of the costs and benefits, the study also examined the question of cost allocation - how should the costs of implementing mobile number portability be distributed to ensure that the costs are fairly and properly allocated?
3.18 This study was completed in June 1997, following extensive market research and consultation with mobile operators and service providers.
3.19 As a basis for the study a comprehensive survey of mobile users was carried out. The survey covered a random sample of 500 mobile subscribers divided equally into personal and business subscribers (small and medium enterprises). A survey of 50 corporate customers (large businesses) was also carried out. This user survey ensured that, wherever possible, actual data were obtained on the way people and businesses use their mobile phones, the value they place on mobile number portability and their attitudes to switching operator.
3.20 At an early stage in this work, mobile operators and service providers were consulted on the main parameters and assumptions of the study. In addition, in April the preliminary findings of the study were presented, and comments sought, at a workshop attended by consumer and user groups, mobile operators, fixed operators and service providers. At each stage of consultation any comments received were taken into consideration and included in the study.
3.21 The study concluded that the UK will be better off if mobile number portability is introduced and recommended that Oftel should require mobile operators to provide portability as soon as possible.
3.22 The user survey provided a powerful demonstration that the absence of portability is restricting competition in the mobile market and that customers want portability. The survey revealed that in the absence of number portability only 42% of corporate subscribers are willing to change mobile operator. However, if number portability was introduced, the percentage of subscribers prepared to change operator would increase to 96%. This strongly suggests that the introduction of mobile number portability will increase competition.
3.23 The results of the cost benefit analysis show that mobile number portability would be in the national interest. The study calculated the costs and benefits over a ten year period beginning in 1998 and ending in 2007. Despite being based on conservative assumptions, the study estimated a net benefit to the UK of £98 million in NPV terms over this period. This confirms Oftel's expectation that mobile number portability would be in the public interest.
3.24 In accordance with standard economic practice the results of the study were subjected to an analysis of their sensitivity to changes in the main assumptions. This showed that the conclusions were robust. The study also included two further estimates based on both pessimistic and optimistic scenarios. The former reduces the net economic benefit to £44 million, and the latter raises the overall level of benefits to £146 million. Importantly, using pessimistic assumptions still leads to a positive result.
3.25 Significantly, the cost benefit analysis excluded any so called 'type 2' benefits ('type 2' benefits were excluded from all three scenarios - the central case and the optimistic and pessimistic cases). Type 2 benefits are essentially those benefits obtained by mobile customers in general, including those who do not switch operator, as a result of lower prices or improved quality arising from the increased competition which portability might create. In previous studies of number portability these benefits have proved to be substantial. The study does conclude that there will be benefits from increased competition after the introduction of mobile number portability, and that these benefits could be significant. The study notes that these benefits would be difficult to calculate across the industry as a whole, but does suggest that they are potentially large. For example, on the basis of efficiency savings for one operator alone, the introduction of number portability could create additional benefits of around £350 million. It should be noted that the calculation of the costs and benefits resulted in a positive net benefit despite the exclusion of these type 2 benefits.
3.26 Oftel considers that the exclusion of 'type 2' benefits and Ovum's conservative approach to the main assumptions in the study implies that the total value of net benefit may actually have been underestimated. Oftel believes the results contained in the study are therefore very robust.
3.27 A report of the study will be published shortly by Oftel.
3.28 In January 1997 Oftel published a Statement on The National Numbering Scheme which set out Oftel's proposals for ensuring that the national numbering scheme meets future demand for numbers, provides sufficient flexibility for the future and is meaningful to customers. In relation to mobile numbers, the Statement explained Oftel's intention that in future mobile phones should all use one easily identifiable number range. At present, mobile numbers can be found on a wide variety of number ranges (03, 04, 05, 07, 08 and 09). As a result there is considerable consumer confusion about when they are actually calling a mobile phone. This is of particular concern in view of the fact that the cost of calling a mobile phone is much higher than for an ordinary telephone call. Oftel has therefore proposed that all mobile phone numbers should move to the 07 range by 2001. 07 will be used for new allocations of numbers for mobile customers. Any mobile customers not using the 07 numbers by 2001 will be expected to migrate to an 07 code. The 07 migration code will be directly related to their existing code - a '7' or '77' will be added to the existing code, eg 0973 258371 would change to 07973 258371. Subscriber numbers will not change in this process.
3.29 Moreover, in order to ensure a smooth transition to the 07 range, and to help subscribers make the change to the new number at a time which suits them, 07 numbers and existing mobile numbers will operate in parallel from no later than 1999.
3.30 The January Statement also covered number portability and, in particular, considered whether portability should be available for existing numbers which do not conform to the proposed new National Numbering Scheme. In the case of mobile services, Oftel considered that portability should not be available for numbers which lie outside the 07 range. Oftel considered that preventing portability of these 'inconsistent' numbers would ensure a significant market migration to the new 07 range.
3.31 Oftel continues to attach a very high priority to the early migration of mobile numbers to the 07 range, in order to ensure that consumers have clear information about the type of service they are calling and the cost associated with it. However, the expert economic evaluation of mobile number portability (described earlier in this Section) has indicated that mobile number portability will bring significant benefits to the UK economy and will increase competition in the mobile market. In particular, the economic evaluation has suggested that the availability of number portability would lead to a 50% increase in the number of subscribers who switch operators. For example, in 2000 it is estimated that 620,000 subscribers would switch operator in the absence of number portability. But this figure would rise to 930,000 if number portability was available. The estimated benefit to mobile subscribers is £28 million in 2000 alone. In addition to the benefits to subscribers who switch operators there will also be benefits to all telecommunications users - including those who call mobile phones.
3.32 In view of the significant economic benefits associated with number portability, Oftel has decided that mobile number portability should be available for all mobile numbers, whether they are on the 07 range or not. Nonetheless, all subscribers with mobile numbers which lie outside the 07 range will still have to migrate to an 07 number by 2001.
3.33 Finally, it should be noted that the introduction of new 07 codes provides an opportunity to reduce the extent of number change for customers changing operator before mobile number portability becomes available. Prior to July 1998 Oftel is prepared to consider reasonable requests from operators for additional 07 capacity in order to allow customers transferring from other operators to retain their 6-digit subscriber number. In these circumstances customers switching operators would only have a code change rather than a code and number change.
3.34 A limited form of mobile number portability is already available in the UK. Existing customers on analogue networks are able to move to a digital network and retain their number, provided they stay with the same network operator. This service is provided free of charge to customers by both operators of analogue networks - Cellnet and Vodafone. At the end of 1996, over 170,000 Cellnet customers and 304,000 Vodafone customers had taken advantage of this service. Vodafone estimates that 30,000 of their subscribers migrate every month. The service acts as an encouragement for customers to stay with their existing operator when changing from TACS to GSM. If TACS customers moved to a different operator they would have to change their number. This is of particular significance in view of the fact that analogue networks are due to be phased out between now and 2005 and that, although declining, the number of analogue subscribers still makes up over 40% of the entire UK mobile market (see table 2 below).
Table 2 Mobile telephony market: number of analogue and digital subscribers
| 1.4.96 | 1.7.96 | 1.10.96 | 1.1.97 | 1.4.97 | |
| Analogue (TACS) | 3,966,000 | 3,806,000 | 3,604,000 | 3,377,000 | 2,956,000 |
| Digital | 1,771,000 | 2,233,000 | 2,701,000 | 3,433,000 | 4,117,000 |
| Total | 5,737,000 | 6,039,000 | 6,305,000 | 6,810,000 | 7,073,000 |
Source: Fintech Mobile Communications
3.35 Unless they cease to use a mobile phone, all existing analogue subscribers (nearly 3 million of them) will migrate to a digital network in the next seven years (and probably sooner). In the absence of portability between operators, Cellnet and Vodafone have a strong competitive advantage since these customers can migrate from analogue to digital services on their own networks without a change of number. Oftel has recently received a complaint, from another network operator, that this acts in an anti-competitive manner and amounts to undue preference. Oftel is currently investigating this complaint. Oftel is already taking steps to create a more level playing field in the 'analogue to digital' market. In April Oftel issued new Numbering Conventions (a set of rules and principles, issued by the Director, which relate to the use and management of numbers from the National Numbering Scheme), which come into force from July 1997. These include a requirement that operators should ensure that customers migrating from an analogue to a digital service adopt a new 07 number code for the new service.
3.36 Some operators have argued that personal numbering represents a viable, more economic, alternative to mobile number portability. Personal numbering is a service based on a 'find me anywhere' number. It allows calls made to the number to be automatically redirected to various phones, fixed or mobile. The allocated number is, therefore, independent of any particular phone line or telephony network. It has been suggested that the 'independence' of personal numbering from any network operator, and the mobility it allows a subscriber, provides an alternative to number portability. Personal numbering enables a customer to receive calls on either their mobile or fixed telephone and allows the customer to retain their personal number if they choose to change their mobile service provider or network operator.
3.37 Oftel does recognise that there is a demand for personal numbering services, and have facilitated its development by providing capacity in the National Numbering Scheme for personal numbers. Oftel does not consider, however, that the availability of personal numbering removes the need for number portability. Similarly, since personal numbering and number portability are not direct substitutes, the introduction of mobile number portability should not impact on the demand for personal numbering. Oftel considers that personal numbering is an entirely different service to number portability. Number portability is, as the MMC has stated, a normal part of a telecommunication service, based on the fact that telephone numbers are a national resource and are no longer 'owned' by individual operators. In contrast, personal numbering is essentially a premium service for those wishing to receive calls on different handsets, in different locations, during the course of a day or week. Oftel considers this to be quite distinct from the majority of subscribers, business or individual, who may consider changing operator every couple of years and wish to retain their number. Those subscribers who simply wish to retain their number when they change operator do not necessarily want the features or additional charging arrangements associated with personal numbering. For example, some personal numbering services use cost sharing arrangements whereby the called party pays for the duration of the diversion.
3.38 Furthermore, taking up a personal numbering service would involve using a new number associated with that service. It does not, therefore, provide a substitute for mobile number portability which enables a subscriber to retain their existing mobile number when changing to a different operator.
3.39 It is clear that consumers want number portability and do not view personal numbering as an alternative. Responses to an August 1996 consultative document (Numbering: Options for the Future.2) established wide support for the extension of number portability to mobile services. A number of user groups have made clear that they do not regard personal numbering as an alternative to mobile number portability. Moreover, in the fixed market operators and customers have recognised the benefits of portability and have not considered personal numbering as a substitute.
3.40 In order for customers to benefit further from competition in mobile services Oftel is committed to the introduction of number portability for mobile customers, and does not consider that personal numbering is a substitute for number portability.
3.41 There is increasing international interest in mobile number portability. Denmark, the Netherlands, Sweden, France, Finland, the USA and Hong Kong are all examining the introduction of mobile number portability. At the European level, the European Commission has advocated the introduction of mobile number portability and will be considering the possibility of EU obligations during 1998.
3.42 In Sweden the mobile operators are generally supportive of mobile number portability. A recent study of number portability carried out on behalf of PTS (National Posts & Telecommunications Agency), and completed in February 1997 recommended that portability should be introduced between operators in the public switched networks, in freephone and in digital mobile. Although the study demonstrated that portability should be introduced for all of these services, the results of the cost benefit analysis actually showed mobile number portability as yielding the highest figure in terms of net benefits. The results of the study in Sweden and the general support for portability indicate that mobile number portability is likely to be introduced in the very near future. The study recommended that PTS should require the GSM and DCS operators to offer number portability by 1 January 1999.
3.43 In the Netherlands a study of number portability commissioned by the HDTP (Telecommunications and Post Department of the Ministry of Transport, Public Works and Water Management) found a strong economic case for introducing mobile number portability and recommended early implementation. As a consequence the Dutch regulator has set a date of 1 January 1999 by which mobile number portability must be introduced. This is likely to include portability of numbers between service providers as well as network operators.
3.44 In Australia, Austel (The Australian Telecommunications Authority) is reviewing a number of technical solutions to portability, and is expected to mandate the introduction of mobile number portability shortly. Similarly, in the United States a recent Order issued by the FCC (First Memorandum Opinion and Order on Reconsideration, 11/3/1997) mandates the introduction of number portability between mobile operators by 30 June 1999.
3.45 Hong Kong and Singapore are also considering the early introduction of mobile number portability. In Hong Kong the Office of Telecommunications Authority announced in January that it was to conduct a study and consider the applicability and desirability of introducing portability for mobile services.
3.46 At the European level, in November 1996 the European Commission issued a Green Paper on Numbering Policy in Europe (Green Paper on A Numbering Policy for Telecommunications Services in Europe, COM (96) 590 final) which proposed that Member States should ensure that all technical restrictions that prohibit number portability for mobile and personal communications are removed as quickly as possible, and at the very latest that number portability should be available by 1 January 2000. The Commission has recently adopted a follow-up Communication which, whilst softening its approach (in response to opposition from mobile operators), does state that in 1998 the Commission will study the desirability of obliging mobile operators to provide number portability and the date on which these obligations might begin.
3.47 In view of the intention of a number of EU member states to introduce mobile number portability, ETSI, the European Telecommuni-cations Standards Institute which has the task of producing telecommunications standards for adoption on a European basis, has recently begun to consider mobile number portability. A Technical Committee - SMG (Special Mobile Group) - has recently started reviewing the technical issues surrounding mobile number portability. Some UK operators have suggested that the implementation of mobile number portability in the UK should be delayed pending the outcome of this work on European standardisation. Oftel supports the work underway in ETSI but considers that this should not delay progress in introducing a pro-competitive measure in the UK. Agreement on an ETSI standard and implementation within vendor's equipment and software releases is likely to take a considerable time and is unlikely to impact on most of the investment required by UK operators to implement an initial UK solution.
3.48 Oftel is keen to ensure that mobile customers benefit from number portability as soon as possible. The Netherlands and Sweden are in a similar position to the UK. Both countries are keen to introduce mobile portability for the benefit of consumers, and are pressing on with implementation ahead of the work being carried out within ETSI.
3.49 In the UK, number portability has been introduced for geographic and non-geographic services in the absence of any ETSI standardisation. Work is still underway in ETSI regarding technical standards for both geographic and non-geographic portability. Given the UK's progress to date there is a strong chance that the UK can influence this ETSI work, and ensure that eventual ETSI options take account of the existing UK approach. Similarly, the UK industry has identified a technical solution for mobile number portability. Oftel would expect that any ETSI work will take account of, and build on, this and any technical solutions from other countries.
3.50 Some operators have expressed concern that they will incur additional investment costs if ETSI standards differ from any initial UK implementation. Oftel does not believe that this is a significant consideration. The majority of the costs incurred by operators and others in implementing mobile number portability will actually be independent of any technical solutions which evolve from ETSI. Any technical solution agreed within ETSI will continue to need the same operational processes in place between operators and service providers and the same methods of storing customer information and billing ported customers. Thus the majority of the processes and systems required for an initial UK solution should be equally capable of supporting any subsequent ETSI standard. Oftel considers that the majority of systems development costs are not dependent on the exact technical solution. It should be noted that systems development costs represent the majority of costs associated with implementing number portability.
3.51 In any case, the UK approach to geographic and non-geographic number portability has shown that implementation of portability is not static and that modifications and enhancements are required over time. Hence, whether or not an ETSI standard is agreed, Oftel would expect more advanced technical solutions to be implemented over time.
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4.1 All four mobile operators currently have the same provisions on number portability in their licence condition on Numbering Arrangements (Condition 19.13 to 19.16 in the Cellnet and Vodafone licences, Condition 24.15 to 24.18 in the Orange licence and Condition 24.13 to 24.16 in the One2One licence). These allow for the Director to direct the Licensee to provide portability to another operator if a number of conditions are met. A direction can not be made unless it is technically feasible to provide portability and the Director has carried out a cost-benefit analysis which shows that portability would result in a net benefit. The Director does not have powers to determine how the costs should be borne. The licences provide for portability of fixed as well as mobile numbers.
4.2 These provisions are closely modelled on the wording of similar provisions in BT's licence as it stood prior to an enquiry into number portability by the Monopolies and Mergers Commission (MMC) in 1995. Similar provisions are also contained in other fixed operators' licences. BT's licence was modified in July 1996, following the recommendations of the MMC's November 1995 report on Telephone number portability. The July 1996 modifications to BT's licence included deletion of the provisions which required a cost benefit analysis and a technical feasibility study before the Director could direct BT to provide portability. The MMC had recommended that these provisions were no longer appropriate. In addition, again following the MMC's recommendations, the new licence condition (Condition 34.C) set out rules on cost allocation and provided the Director with powers to determine standard charges on the basis of costs determined by him and allocated according to principles laid down by the MMC. The MMC considered that portability needed to be introduced more rapidly and effectively than was likely if BT's licence remained unchanged: without such a licence modification there would be further protracted argument about the level of costs, and any take up by other operators would be on a restricted basis, preventing full realisation of the benefits which the widespread introduction of Number Portability would bring. In April 1997 Oftel proposed similar modifications to all other fixed operators' licences. Statutory consultation on these modifications has recently been completed and Oftel expects to incorporate the modifications into licences shortly.
4.3 Oftel considers that modifications to existing licence obligations are required to enable portability to be introduced efficiently and effectively in response to demand. Licence modifications are needed for a variety of reasons. Oftel considers that the existing provisions on number portability in mobile operators' licences would create unnecessary delays in the introduction of portability and provide unnecessary potential for protracted disputes about the terms and conditions on which portability is to be provided. In addition, it will be vital for participants in portability to be obliged to abide by the rules set out in the relevant issue of the 'Functional Specification' (a document issued by the Director, which specifies technical and other principles which are intended to enable the efficient implementation and utilisation of portability). It will also be essential to allow for the possibility of cost-sharing in any charging structure which underpins the delivery of a portability facility. Current licence provisions do not contain provisions on any of these. A new condition, along similar lines to that already found in BT's licence and recently proposed for all other fixed operators' licences, is required in order to ensure the early, efficient and effective introduction of number portability for mobile services.
4.4 Oftel proposes that in each licence existing provisions on numbering arrangements will be supplemented by a new condition on number portability. The proposed condition will modify existing provisions on portability. The text of the condition is set out in Annex A. Condition 19.13 to 19.16 in the Cellnet and Vodafone licences, Condition 24.15 to 24.18 in the Orange licence and Condition 24.13 to 24.16 in the One2One licence will be deleted and replaced with the new condition.
4.5 The new licence condition would require each operator to provide portability on reasonable terms to any other operator who requests it and who is able and willing to provide reciprocal portability. The licence condition only obliges the Licensee to export numbers to other operators. It does not require operators to import numbers - operators are free to decide, on a commercial basis, whether or not they wish to import numbers from another operator.
4.6 The licence condition sets out a limited number of basic rules on charging. Within this framework, Oftel would expect operators to reach commercial agreement on terms and conditions for providing portability. In the event of a dispute, however, operators may refer to the Director for his determination of the reasonableness of particular terms and conditions being offered.
4.7 In drafting the licence modifications, Oftel has been guided by the principles enunciated in the 1995 MMC report on number portability. This report was confined to fixed networks, and the terms of reference did not cover portability of mobile numbers. Nonetheless, the MMC's recommendations do provide useful guidelines for introducing number portability to any telephony service. In particular, the MMC report established general principles on cost allocation and established the idea of cost sharing. The MMC's recommendations on the powers needed by the Director in order to ensure effective and efficient introduction of number portability are also relevant.
4.8 The following paragraphs provide a more detailed commentary on the proposed licence modifications:-
4.9 The proposed licence condition would require the Licensee to provide portability on request from another qualifying Operator. It is proposed that this obligation should come into force no later than 30 June 1998, from which date Licensees will be expected to be able to provide portability to any other operator requesting it.
4.10 The principle of reciprocity would apply: the operator requesting portability must be able and willing to provide the same extent and type of portability as that requested. Thus, the Licensee is only obliged to provide portability if the party requesting it is able to offer reciprocal portability on reasonable terms and in accordance with the functional specification. It should be borne in mind that the operator requesting portability (the 'Qualifying Operator') will also operate under a Licence granted under Section 7 of the Telecommunications Act 1984 and will, therefore, have similar licence obligations to the Licensee.
4.11 Portability must be provided in accordance with the Functional Specification. The Functional Specification is a document published from time to time by the Director General of Telecommuni-cations, following consultation with interested parties, which specifies technical and other principles which are intended to enable the efficient implementation and utilisation of portability. The Functional Specification sets out the scope of the portability to be provided; specific rules relating to the processes to be carried out by operators and others to whom allocations of numbering capacity have been made, in order to ensure the efficient provision of portability; and some general rules concerning the efficient use of numbers where portability services are being offered. The current Functional Specification (Issue No. 1 of 29 July 1996) relates to geographic number portability. Oftel has recently consulted on a revised Functional Specification (draft Issue 2) which would include new rules on number portability for non-geographic services. This will be formally issued shortly. A further revised issue will be required for mobile number portability. An initial draft is set out in Annex B.
4.12 Oftel seeks initial views on the draft Functional Specification. In the light of comments received, Oftel will undertake further consultation with operators later this year before issuing a final text.
EXTENT OF PORTABILITY
4.13 The licence condition provides for portability of:-
(i) geographic numbers: 'ordinary' residential and business numbers (those on the 01, and in future 02, ranges). These are defined by reference to the Area Number ranges which are, in turn, defined in the Numbering Conventions. The Numbering Conventions are a set of rules and principles relating to the use of numbers, which are published by Oftel in accordance with the numbering conditions of all operators' Licences.
(ii) non-geographic numbers: these are numbers which do not refer to a specific geographic area and can include any numbers other than Area Numbering Ranges. The precise scope of non-geographic numbers at any time will be set out in issue 2 of the Functional Specification (due to be issued by Oftel shortly), which includes rules on which numbers can be ported. Initially, as regards non-geographic numbers, this will only cover number ranges designated for specially tariffed services (freephone, local rate, regional rate, national rate, and premium rate). Although Oftel considers that portability should be extended to personal numbering, this would not take place without further examination of technical and commercial issues involved.
(iii) mobile numbers: these are any numbers allocated for use with mobile services. Given the declining numbers of analogue subscribers and the closure of analogue networks by 2005, Oftel does not propose to require portability from digital networks to analogue nor from one analogue network to another; such portability would be too costly, would be technically difficult, and there would be very little demand for such a service. Oftel would expect inter-operator portability to be provided from analogue networks to digital networks as well as between digital networks.
4.14 The proposed licence modification is not restricted to mobile numbers - it allows for the fact that mobile operators are entitled to allocations of numbers used for fixed network services and for other services such as freephone, local rate, national rate and premium rate. If mobile operators offer services using such numbers, those numbers should be portable. The extent of portability can only cover number ranges held by the Licensee and Qualifying Operator. Thus, an operator with no allocations of freephone numbers could not be obliged to provide portability of freephone numbers; equally, a Qualifying Operator without such allocations could not request portability of freephone numbers. As explained above, mobile operators' existing licences include specific provisions on fixed as well as mobile number portability.
4.15 In March 1996 Oftel tabled a discussion paper on mobile number portability, for consideration by operators. This took as its starting point the principles for cost allocation recommended by the 1995 MMC report on fixed number portability and, whilst noting that cost allocation for mobile portability would have to take account of the technical solution adopted for implementation, set out a possible method of cost allocation. Since then, the NICC (an industry group which provides advice to Oftel on significant technical issues related to policy developments) has examined technical approaches and identified the 'signalling relay solution' as the most appropriate method of implementing mobile number portability in UK. In the light of responses to the March 1996 discussion paper and on the basis of the signalling relay solution, Oftel has reviewed the question of cost allocation. In so doing, Oftel has also taken account of the recommendations of the independent economic evaluation of mobile number portability carried out on its behalf by Ovum.
4.16 Oftel would expect costs to arise in the following categories:-
System Set-up costs: The costs incurred by the operator in order to establish the technical and administrative capability to provide portability. In particular, costs of:-
Oftel would include under this category any costs related to the initial reconfiguration or updating of billing and administration systems.
Per number set-up costs: the costs incurred by the operator in changing the number records in its network and the administrative costs involved with respect to each number ported (including any reasonable costs incurred by service providers).
Additional conveyance costs: costs associated with resources used in:-
This would include 'look up' of the ported number and prefix addition. It does not include any conveyance or transit costs which would normally be incurred for a call to a non-ported number from one mobile network to another.
4.17 These categories follow those recommended by the MMC in its 1995 report on fixed network number portability and subsequently included in BT's licences and applied in Oftel's determination of BT's costs of providing portability.
4.18 The question of cost allocation was examined in great detail by the MMC with respect to fixed networks in 1995. Oftel does not consider that it would be possible, or appropriate, to simply replicate the findings of the MMC for mobile number portability, given the differing nature of the costs incurred and the different market circumstances which exits. However, the MMC based its conclusions on a set of principles which can be universally applied to any form of portability. Those principles were:
(i) cost causation: in general, cost-recovery mechanisms should have strong regard to whose actions cause additional costs to be incurred;
(ii) cost minimisation: those who are in a position to affect the size of the costs should face strong incentives to minimise costs;
(iii) distribution of benefits: cost recovery mechanisms should recognise that ported customers are not the only beneficiaries of number portability;
(iv) effective competition: cost recovery mechanisms should promote competition, and not weaken the benefits which number portability would bring in the mobile market;
(v) reciprocity and symmetry: cost recovery mechanisms should as far as possible be symmetrical and reciprocal, given that portability is required to be offered in both directions;
(vi) practicability: ease of implementation.
4.19 In applying these principles, Oftel considers that the main difference between fixed and mobile portability is in terms of symmetry. In fixed portability there was an imbalance in the magnitude of the relevant costs incurred by BT compared with other operators. BT's system set-up costs were markedly higher than those quoted by other operators, as were its per-line set-up costs. Furthermore, BT incurred additional conveyance costs because of its two-tier network of trunk and local switches, which other operators in the main do not.
4.20 In contrast, there is a considerable degree of symmetry in the mobile market. The development costs required to support portability should be roughly similar in all networks. In December 1996 Oftel requested information from operators on their estimated costs of implementing mobile portability. The responses were based on costs associated with a 'call forwarding' approach of implementation, which has subsequently been ruled out in favour of 'signalling relay'. However, the responses did indicate that system set-up costs and per-line set- up costs should be roughly similar for all the operators. Three operators provided detailed estimates of costs. All three estimated very similar figures for per-line set-up and additional conveyance. Two - a cellular operator and a PCN operator - also indicated similar system set-up costs and administrative costs. Given that most operators use the same suppliers, this is hardly surprising.
4.21 The licence modification would require both the Licensee and the Qualifying Operator to abide by the following basic charging principles. These apply the principles set out above and are based on cost sharing, recognising the fact that whilst, on the one hand, number portability does lead to extra costs for the Licensee, on the other hand there are benefits to existing subscribers who do not port their numbers.
(a) System Set-up Costs: Each operator bears its own system set-up costs. This will bring about cost minimisation, recognises the wide distribution of benefits and will promote effective competition.
(b) Per Number Set-up Costs: As the MMC noted, the principle of cost causation is most directly applicable to costs incurred with respect to setting up portability for each number or numbers. These should be borne by the operator to whom the number is being ported (the 'recipient operator'). Such costs would include costs incurred by the donor operator's service provider (where appropriate) as well as by the donor operator.
(c) Additional Conveyance Costs: The Donor Operator may not charge the recipient operator a specific 'portability' charge for such additional conveyance. The cost of additional conveyance should be subsumed into the donor operator's general network costs, spreading the cost over all calls on the network.
Such an approach follows the principle of cost minimisation, by encouraging operators to minimise additional conveyance and thus adopt the most efficient routing method of providing portability. Moreover, it flows from the MMC's conclusion that the provision of portability is an essential feature of a competitive telecommunication market. The MMC stated that: "It follows that the routeing of calls to ported numbers should be regarded as a normal part of a telecommunication service and not a facility requiring special charging arrangements, particularly as telephone numbers are now a national resource and no longer 'owned' by individual operators."
4.22 These proposals are closely based on the cost allocation outlined in Oftel's March 1996 discussion paper and take account of the fact that responses to the paper indicated a significant degree of support for its proposals.
4.23 Some operators have suggested that portability creates ongoing costs for the donor operator associated with maintaining a 'residual subscription' of customers who have ported their number to another operator. Operators have likened this to an ongoing per-number set-up cost and suggested that they should be able to charge an annual fee for these costs. Oftel considers that any ongoing fee for providing portability would be contrary to the principles of effective competition and cost minimisation. An ongoing fee would effectively deter subscribers from using portability. There would, moreover, be little incentive for the donor operator to minimise such costs. Finally, it should be noted that reciprocity and symmetry should ensure that such costs are largely incurred equally amongst all operators. Oftel therefore considers that donor operators should not charge ongoing fees for providing portability.
4.24 The donor operator may recover any other costs incurred in providing portability, provided that such costs are reasonable.
4.25 The licence condition allows for some flexibility in agreeing the basis for charges. The MMC report recommended that charges for portability should be cost-based. In October 1997 BT's charges will move to an incremental cost basis. It is accepted that this will become the norm for the rest of the telecommunications industry. The licence condition therefore requires that cost based charges should be based on incremental costs. However, the Licence condition also recognises that the donor and recipient operators may agree upon a different basis. For example, they may agree that charges should be on a reciprocal basis. In addition, one or both of the operators may ask the Director to determine the appropriate cost basis.
4.26 In the event of a dispute, both the Operator requesting portability and the Licensee would be able to request the Director's determinations of the reasonableness of:-
4.27 This would apply equally to the Licensee and the Qualifying Operator: either party can request a determination of the reasonableness of any terms or conditions offered by the other. Further details of how Oftel would exercise this power of determination are set out below.
4.28 The following paragraphs set out the approach which Oftel would take in any determination on the reasonableness of certain matters requested under the proposed number portability licence condition.
4.29 It should be noted that a request for a determination should be treated as a last resort. Oftel would expect the Qualifying Operator and Licensee to attempt to resolve any issues before requesting a determination. Oftel will not proceed with such a determination unless it is satisfied that the requesting party, at least, has made full efforts to negotiate an agreement.
4.30 Any request for a determination regarding number portability should:-
4.31 The licence condition allows the Licensee or Qualifying Operator to request a determination of the reasonableness of a number of terms associated with portability. For each of these, the following paragraphs set out a guide to the information which should be contained in any request and the principles which Oftel would apply in making any determination. In the event that a determination was not acted upon by the relevant parties, the Director General would have the power to issue an order requiring compliance.
(i) the request for the provision of Portability, taking into account the technical and operational characteristics of the Licensee's Applicable Systems and, if relevant, those of the applicable systems of the Qualifying operator;
4.32 If the Licensee considers that the Qualifying Operator is unable to provide reciprocal portability, his request for a determination should provide as much information as possible as to why he has reason to believe that this is so. The Director would determine that any request for portability is unreasonable if the Qualifying Operator is unable to provide portability. The technical and operational characteristics of the Qualifying Operator's Applicable Systems must be able to support the portability requested from the Licensee and to provide reciprocal portability to the Licensee. The Qualifying Operator must be able to provide portability before he can request it from the Licensee.
4.33 In making any determination, Oftel would apply the principle that all Licensees should be able to provide portability for all the number ranges they hold. Publication of this Statement constitutes notice to all mobile operators that they must take necessary measures to ensure that they are able to do so by 30 June 1998.
(ii) the extent of Portability requested;
4.34 Any request for a determination of the reasonableness of the extent of portability requested should specify what aspect of the extent is considered to be unreasonable and explain why.
4.35 Oftel would apply the following principles to any questions related to extent:-
Extent should not be restricted so as to enable 'cherry picking' of lucrative areas or numbers. Thus, geographic number portability should be requested throughout the area of extent; it would be unreasonable to request an extent which specifically excluded certain locations covered by an area number range. For non-geographic number portability, it would be unreasonable to seek to restrict extent to 'golden numbers' or particular ranges of numbers held by large corporate customers.
For non-geographic number portability it would be unreasonable to restrict the scope of reciprocal portability by limiting extent to number ranges held by the Licensee. For example, it would be unreasonable for a Qualifying Operator to limit the extent of a request for freephone number portability to, say, 0500 numbers if the Qualifying Operator's freephone numbers were predominantly on 0800 ranges. For each type of service (eg freephone, national rate etc) extent should, potentially, include all number ranges associated with that service.
(iii) the costs incurred in providing Portability;
4.36 Any request for a determination under this provision should specify which particular cost components or category of costs are the subject of the request, or the cost basis, and explain why they might be considered unreasonable.
4.37 The Director may determine that a cost is not reasonable if it does not reflect any relevant economies of scale, for example the lower costs associated with porting a 10,000 block of numbers.
(iv) the categorisation of costs
4.38 Any request for a determination should specify particular cost components and why it might be considered unreasonable for these to be included in a particular cost category. In determining the reasonableness of the categorisation of any costs, the Director would refer to the categories set out in paragraph 1 (b), (c) and (d) of the licence condition and the definitions of "additional conveyance costs" and "system set-up costs" in the licence condition.
(v) the proposed use or use of a higher cost method in proposing to implement or implementing any aspect of Portability where a lower cost method could or ought to have been used;
4.39 The Director may determine that a cost is not reasonable if he considers that the Licensee or th Qualifying Operator could at the relevant time have used lower cost methods in implementing the relevant aspect of portability.
(vi) the charges to be made for providing Portability;
4.40 Any request for a determination of charges should identify the particular aspects of the proposed charges which the Director is asked to examine and explain why these might be considered unreasonable.
4.41 It would be unreasonable for any charges to break the principles set out in paragraph 1 of the licence condition. In particular the donor operator may not charge the recipient operator for system set-up costs, additional conveyance costs or any ongoing costs of any donor operator activity related to registration of a ported number or subscriber, nor may he seek to make unreasonable charges for providing other aspects of portability.
(vii) the basis for calculating charges
4.42 If requested to consider the reasonableness of the basis of calculating charges, the Director would apply the principles set out in paragraph 1 (a) of the licence condition. Charges should be based on incremental costs unless the Donor and Qualifying Operator had agreed to use another basis (such as reciprocity) or if the Director has determined, on request from either of the Operators, that another basis should be used.
(viii) General
4.43 With respect to (iii), (iv), (v), (vi) and (vii) above, in considering the reasonableness of any costs, categorisation of cost, or charges, the Director may refer to any existing determination of any operators' costs or charges for providing portability.
4.44 If requested by Oftel, the Licensee will be required to provide a record of all numbers in relation to which it is providing Portability, specifying the relevant Qualifying Operator in each case. This is intended to provide details of what numbers are being ported and to whom at a particular point in time. This reflects an existing requirement of the Numbering Conventions.
4.45 Since many customers obtain their mobile numbers from service providers and not directly from network operators, the availability of number portability depends to some extent on service providers (the term 'service provider' refers to businesses engaged in the retailing of airtime on the mobile telephone networks and to businesses providing value added or 'enhanced' services on those networks). Portability between network operators therefore requires the cooperation of service providers. In addition, portability should be available when customers change service provider but stay with the same network operator. Such 'service provider portability' is offered by some service providers at present but its availability is not guaranteed to all customers.
4.46 Number portability between service providers should produce similar benefits to those associated with portability between network operators. A report on number portability in the Netherlands concluded that the costs of implementing service provider portability would be relatively small since they mainly comprise modifications to the billing and administrative systems of service providers (Report prepared by Ovum for the HDTP (Telecommunications and Post Department): Number Portability in the Netherlands, March 1996). Such portability should produce direct savings for customers and callers as well as promoting competition between service providers.
4.47 Oftel considers that customers must be able to retain their phone numbers whether they change network operators, service providers, or both. In order to ensure that service providers facilitate portability, the proposed licence modifications include a provision which would require Licensees to ensure that any service provider to whom they provide airtime shall undertake to ensure that customers may retain their numbers, on reasonable terms, if they move to another service provider and/or operator who requests such portability.
4.48 Some operators already include similar terms in their service agreements with service providers. The proposed licence modification would provide a regulatory underpinning to those.
4.49 As explained earlier, the proposed licence modifications would provide for portability of non-geographic numbers (such as freephone numbers) as well as mobile numbers. Non-geographic services are often provided by special types of service providers, using numbers sub-allocated to them by operators. In some cases, non-geographic numbers may be obtained by customers from number resellers, who have in turn received sub-allocations from operators. The proposed licence modifications would require each Licensee to ensure that any number which has been allocated to him by Oftel can be ported to a Qualifying Operator. For example, if a Licensee sub-allocates numbers to another body which provides freephone services, he should take appropriate measures to ensure that, upon request from a Qualifying Operator, those numbers can be ported. Oftel would expect contractual arrangements between any Licensee and a person to whom it has sub-allocated numbers to deal with this situation. This principle is also covered in the Functional Specification.
4.50 Once a number has been ported to one operator, the customer may wish to switch again to another operator, still retaining the original number. Provided the customer is not returning to the operator from whom he first obtained the number, these subsequent changes of operator are known as 'Subsequent Portability'. So far as the original operator is concerned, it makes no difference, in regulatory terms, whether the portability it is providing is an initial or a subsequent port: all calls will have to be routed over its network. Whilst there are certain rules to be observed between network operators when providing Subsequent Portability, there is no need for separate provision to be made in the Licence condition to cover it. Subsequent Portability will involve a third party - a 'new' recipient operator who must be a Qualifying Operator. The regulatory obligations would be between the Licensee and the 'new' recipient operator. For regulatory purposes, the 'old' recipient operator is not involved. In cases of Subsequent Portability, the reciprocal nature of the agreement would be between the Licensee and the 'new' recipient operator.
4.51 Multi-number porting, when a block of numbers (ranging from 2 to 10,000) used by a single customer are ported is not specifically mentioned in the Licence condition. It is simply a type of portability and is embraced by the Licence Condition, with special rules applying under the Functional Specification.
4.52 Mobile portability could raise one complication which does not arise with portability on fixed networks. The broad parity of prices for calls to fixed networks means that the porting of a number does not result in calling customers incurring significantly different charges compared with if the number had not been ported. This is not the situation in the mobile sector where, despite some convergence of charges, there remains a significant difference between the price of calls from a fixed network to, on the one hand, Cellnet and Vodafone and, on the other, One2One and Orange.
4.53 Oftel considers that callers should not face unexpected charges for calls to ported numbers. Oftel considers that anyone calling a ported number should not pay more than the call charge for the number before it was ported. In other words, portability should not result in an increase in the charge for calling the number.
4.54 The retail charge for a call to a mobile network is, however, set by the operator (in most cases a fixed operator) on whose network the call originates. This retail price is based primarily on the level of termination charge paid by the originating operator to the mobile operator. In order to ensure that retail prices do not increase for calls to ported numbers, any arrangements must also ensure that the termination rates for a call to a ported number should not be higher than those before the number was ported.
4.55 In some cases, of course, customers will move to a new operator who has lower termination rates. It should be recognised, however, that in such cases it may be difficult to provide for lower termination and retail rates for calls to ported numbers. This would require additional work by BT and other fixed line operators to enable them to analyse all digits of all numbers called to identify which are ported numbers. Thus the most practicable arrangements would seem to be based on the principle that the retail and termination rates remain the same after portability.
4.56 Oftel considers that it is up to operators to agree commercial arrangements within these requirements. Clearly further convergence of retail prices for calls to mobiles would help. A single retail price (and a single termination rate) would remove any need for special arrangements for portability.
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The current provisions on Number Portability in all mobile licences are proposed to be deleted, and the following provisions inserted in their place:-
A1 The Licensee shall as soon as possible and in any event with effect from 30 June 1998 provide Portability either to any Qualifying Operator, or in the capacity of a Qualifying Operator, on reasonable terms in accordance with the Functional Specification and with the following provisions provided that any charges for the provision of such Portability shall be made by the Licensee in accordance with the following principles:
(a) subject always to the requirement of reasonableness, charges shall be based on the incremental costs of providing Portability, unless:
- the Donor and Recipient Operators shall have agreed another basis for charging ; or
- the Director shall have determined, following an application by either or both Operators, that another basis for charging should be used;
(b) the Donor Operator shall make no charge in relation to System Set-Up Costs;
(c) subject to sub-paragraph (b), the Recipient Operator shall pay charges, other than any annual fee or charges for ongoing costs related to registration of a ported Number or of a subscriber, based on the reasonable costs incurred by the Donor Operator in providing Portability with respect to each Number which, subject to sub-paragraph (d) may be paid by way of specific charge relating to specified elements of the provision of the facility;
(d) The Donor Operator shall make no specific charge based on Additional Conveyance Costs.
A2 "Qualifying Operator" means an Operator which :
(a) has requested in writing the provision of Portability from the Licensee specifying the type or types and extent of Portability so requested; and
(b) is able and willing to provide on reasonable terms and in accordance with the Functional Specification and these provisions the same type or types and extent of Portability to the Licensee as it has sought
and the Licensee shall be deemed to be acting in the capacity of a Qualifying Operator where the Licensee has requested in writing the provision of Portability from an Operator and has offered Portability to that Operator in accordance with sub-paragraphs (i) and (ii) above.
A3 The extent of Portability means
(a) in relation to Geographic Portability, the area or any specified part thereof within which the Licensee and Qualifying Operator are entitled to provide telecommunication services, provided that Portability may only be sought or offered throughout any such area or specified part thereof;
(b) in relation to Non-Geographic Portability, the Numbers sought and offered by the party requesting Portability, together with a description of both the services offered and tariff-bands charged to parties calling such Numbers;
(c) in relation to Mobile Portability, the Numbers sought and offered by the party requesting Portability.
A4 Where a notice for the purposes of paragraph 2 has been given, the Licensee or the Qualifying Operator may refer in writing to the Director for his determination any question as to the reasonableness of
(a) the request for the provision of Portability, taking into account the technical and operational characteristics of the Licensee's Applicable Systems and, if relevant, those of the applicable systems of the Qualifying Operator;
(b) the extent of Portability requested;
(c) the costs incurred in providing Portability;
(d) the categorisation of costs;
(e) the proposed use or use of a higher cost method in proposing to implement orimplementing any aspect of Portability where a lower cost method could or ought to have been used;
(f) the charges to be made for providing Portability;
(g) the basis for calculating such charges.
A5 Before making any determination under paragraph 4 the Director shall consult with the Licensee and the relevant Qualifying Operator and with Interested Parties and consider any representations made by them.
A6 If requested in writing by the Director, the Licensee shall provide to the Director a record of each Number in relation to which it is providing Portability, specifying the relevant Qualifying Operator in each case.
A7 Where the Licensee provides Mobile Radio Telecommunication Services by means of the Applicable Systems to a Subscriber either by its Direct Business or by means of a Service Provider, and where the Subscriber nominates another Service Provider or Operator to provide such services, the Licensee shall ensure that either its Direct Business or the Service Provider undertakes to procure, if so requested by the nominated Service Provider or Operator, the retention on reasonable terms by the Subscriber of any Number allocated to that Subscriber by or on behalf of the Licensee.
A8 For the purposes of this Condition:
"Additional Conveyance Costs" means any costs incurred by a Donor Operator associated with resources used in -
(a) effecting the switch-processing required to set up each ported call, and
(b) providing the switch and transmission capacity for any part of the duration of each call
additional to the costs of conveyance of non-ported calls from the Applicable Systems to the Recipient Operator's system;
"Donor Operator" means the Licensee, where any Number allocated by the Licensee (or by any third party providing telecommunication services by means of the ApplicableSystems of the Licensee) is the subject of any agreement or proposed agreement under which Portability will be provided to the Recipient Operator ; or any Qualifying Operator where any Number allocated by the Qualifying Operator (or by any third party providing telecommunications services by means of the Applicable Systems of the Qualifying Operator), is the subject of any agreement or proposed agreement under which Portability will be provided to the Recipient Operator;
"Functional Specification" means a document published from time to time by the Director following consultation with the Licensee and Interested Parties which specifies technical and other principles which are intended to enable the efficient implementation and utilisation of Portability;
"Geographic Portability" means Portability relating to Numbers allocated as provided for in the National Numbering Conventions in accordance with the rules for the allocation of Area Numbering Ranges;
"Interested Parties" means those persons, other than the Licensee and the relevant Qualifying Operator, with whom the Director considers it appropriate to consult;
"Mobile Portability" means Portability relating to Numbers allocated for use with Mobile Radio Telecommunications Services;
"Non-Geographic Portability" means Portability relating to Numbers allocated as provided for in the National Numbering Conventions in accordance with the rules for the allocation of Numbering Ranges other than Area Numbering Ranges;
"Number", "Numbering Plan" and "National Numbering Conventions" each have the same meaning as in the Condition in this Licence relating to Numbering;
"Operator" means any person authorised to provide telecommunication services not being prohibited from receiving any financial benefit from such provision, and obliged, by virtue of provisions in the licence authorising provision of such services, to adopt a Numbering Plan for such Numbers as may have been allocated by the Director to that person in accordance with the National Numbering Conventions;
"Portability" means a facility which may be provided by the Licensee and by any Qualifying Operator ( as the case may be) to each other, or, where the Licensee is acting in the capacity of a Qualifying Operator, by the Licensee and by an Operator to each other, thereby enabling any person to whom a Number has been allocated (whether by the Licensee, any Qualifying Operator, or any third party as the case may be) to continue to be provided with any telecommunication service by reference to the same Number irrespective of the identity of the person providing such a service;
"Recipient Operator" means any Qualifying Operator, where any Number allocated by the Licensee (or by any third party providing telecommunication services by means of the Applicable Systems of the Licensee) is the subject of any agreement or proposed agreement under which Portability will be provided by the Donor Operator; or the Licensee where any Number allocated by the Qualifying Operator (or by any third party providing telecommunication services by means of the Applicable Systems of the Qualifying Operator) is the subject of any agreement or proposed agreement under which Portability will be provided by the Donor Operator.
"System Set-Up Costs" means costs incurred -
(i) in the course of making network and system modifications, configurations or re-configurations, including adapting or replacing software;
(ii) in the course of testing functionality within the Applicable Systems and in conjunction with any Recipient Operator's systems;
thereby establishing the technical and administrative capability to provide Portability.
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Issue No: 3 - GEOGRAPHIC, NON-GEOGRAPHIC AND MOBILE PORTABILITY
[Dated:...........................]
Purpose of this document
Scope of Portability
Definitions
Rules:
A Donor Operator's Rules
B Recipient Operator's Rules
C Transit Operator's Rules
D Common Rules
10,000 Number Blocks
Number Block Ownership
CLI Procedures
Call Routing
Number Allocation and Conservation
Subsequent Portability
Migration of Number- Length
Specially-Tariffed Numbers
Premium Rate Numbers
Mobile Numbers
Process Manuals
B1 Portability is a facility defined in certain licence conditions, under which it is to be provided by one telecommunication operator to another in accordance with the current issue of the Functional Specification. The Functional Specification sets out the technical and operational scope of the Portability to be provided; specific rules relating to processes to be carried out by telecommunication operators which are necessary to ensure the efficient provision of Portability between operators; and some general rules concerning the efficient use of Numbers where Portability services are being provided.
B2 It is intended to implement Portability in stages, with the Numbers which telecommunication operators are obliged to port at each stage being identified by reference to the Numbering Ranges as provided for in the Oftel Numbering Conventions. Where the Numbering Ranges do not serve to make the distinction between types of portability sufficiently clear, other reference-points will be used.
B3 This third issue of the Functional Specification relates to 'geographic number' Portability, 'non-geographic number' Portability and mobile number Portability.
B4 The first issue dealt with Geographic number portability, as defined in the Licence conditions, and covered the Portability of all numbers in the Area Numbering Range (currently defined as those Numbers where the S-digit is '1' or '2'), except Numbers which are currently allocated for use with the following services:
B5 The second issue of the Functional Specification dealt in addition with Non-geographic number portability, meaning portability relating to Specially-Tariffed Services (defined below and in the next section), where the number called indicates a type of service offered to the caller rather than a geographical location. Those Specially-Tariffed Services falling under 'S' digits 1 and 2 which were excluded from the first issue of the Functional Specification are covered by this issue.
B6 Specially-Tariffed Services are currently offered behind a range of numbers specified in Annex 1 and comprise Freephone, Local Rate, Regional Rate, National Rate and Premium Rate Services. They are each defined in the Definitions section of the Functional Specification. The lists of number ranges set out in the Annex may be updated from time to time by means of information notes published by Oftel in the Numbering Bulletin. The updates will be consolidated each time a new Issue of the Functional Specification is published.
B7 The third issue of the Functional Specification deals in addition with mobile number portability, as defined in the licence condition, which covers the Portability of numbers in the sub-ranges of the 07 Range which are designated for mobile services, as set out in Convention B7 of the Oftel Numbering Conventions, and any numbers in other ranges which have been allocated for use with mobile services. This includes portability of numbers from analogue to digital networks and between digital networks but excludes portability from a digital to an analogue network and between analogue networks.
B8 In due course, further issues of the Functional Specification are intended to deal with any other changes to the existing Rules which may become necessary.
The Number (or Numbers) which any telecommunication operator's system recognises as relating to a particular customer of that operator.
The operator whose Customer Number(s) are in the process of being, or have been ported to a Recipient Operator.
A service offered by an operator to its customers whereby the calls to a Customer Number are routed to a new address.
Any party to an agreement to provide Portability between networks. [The term may refer to a Service Provider where it is providing Portability on the basis of its own number allocation].
A facility provided by an Operator when any Numbering Range is in the process of being changed and in order to assist users of the network to adjust to such a change, whereby a caller may for a limited period of time dial a Number which has been superceded by another Number and still be connected to the called party.
A Customer Number in relation to which the facility of Portability is in the process of being or has been provided.
The operator to whom the Donor Operator's Customer Number(s) are in the process of being, or have been ported.
(applies to Geographic Number Portability only)
That part of the licensed area of a Donor Operator within which, at the time that any request for Simultaneous or Subsequent Geographic Mobility is made by another operator in respect of a Customer Number, the Donor Operator would provide such Mobility in respect of that Customer Number as part of its standard provisioning practice. For the avoidance of doubt, the Service Area does not mean any larger area defined by reference to an exchange name or area code.
A person whose business comprises the provision, for reward to the public, of any service delivered entirely by means of a telecommunication system.
A service offered by a Recipient Operator to its customers whereby Customer Numbers may be retained while simultaneously changing operator and moving to a new address.
Freephone - a service which allows callers to call the relevant number at no charge.
Local Rate - a service which, wherever it is called from within the UK, may be charged by the Operator at its standard rate for a local call.
Regional Rate - a service which, wherever it is called from within the UK, may be charged by the Operator at its standard rate for a regional call.
National Rate - a service which, wherever it is called from within the UK, may be charged by the Operator at its standard rate for a national call.
Premium Rate - a service where part of the overall charge paid by a customer for the service, being payment for the content of the call, is passed by an operator, directly or indirectly, on to the individual, organisation or company providing the service.
[In each of the above definitions, the Operator is taken to be the Operator serving the calling party]
A service offered by a Recipient Operator to its customers whereby, if a Customer Number becomes a Ported Number, it may be retained if the customer subsequently moves to a new address.
A type of Portability where the Donor Operator retrieves a Customer Number from a Recipient Operator to whom that Number has been previously ported and ports it to a second Recipient Operator.
An operator providing, by agreement, interconnection between a Donor Operator and a Recipient Operator via Points of Connection with both operators.
'Number', 'Point of Connection' (or 'POC'), and 'Portability' have the meanings given in any Operator's licence granted under section 7 of the Telecommunications Act 1984.
It is a Donor Operator's responsibility to ensure that all calls destined for Ported Numbers, subject in the case of Specially-Tariffed Numbers to any network management actions reasonably undertaken in order to maintain network integrity and in response to abnormal demands, are dealt with in a manner conforming to the following rules:
Calls to a Ported Number, whether originating on the Donor Operator's network or received from other networks, are:
For Geographic and Non-geographic Number Portability (Rules 2, 2a and 3):
Subject to Rule 2(a), before handing over each call to a Ported Number in a Recipient Operator's network, the Donor Operator shall ensure that a six-digit prefix commencing with the number 5 ('5xxxxx'), allocated for the purpose by the Oftel Numbering Unit to the Recipient Operator, and providing the identity of the Recipient Operator and, in the case of geographic number portability, the relevant switch in the Recipient Operator's network, is inserted before the full national number.
Oftel Numbering Unit will allocate prefixes commencing with numbers between 504000 to 505999 for use solely in connection with Non-geographic number portability. Within that block, prefixes commencing 5049 shall not be passed across Points of Connection, being reserved for internal network use by all operators in connection with Non-geographic number portability.
Subject to Rule 2a, prefixes commencing with the number 5 shall be used in relation to Portability by the Donor Operator, and for no purpose other than to identify the Recipient Operator and, in the case of geographic number portability, the relevant switch in its network.
For Mobile Number Portability (Rules 3a and 3b):
The Donor Operator shall, on receipt of a call for a ported customer, carry out one of the following actions:
and allow the donor operator to forward the call appropriately.
In the above, x is a digit identifying the recipient network and yz are digits determined by the recipient operator.
The donor operator will pass, on request, appropriate Call Detail Records relating to calls for the ported number to the recipient operator in a timely and efficient manner.
If the Donor Operator's ability to provide Portability in respect of new Customer Numbers becomes restricted due to unforseen constraints on switching or processing capacity, the Donor Operator will notify relevant Recipient Operators and Oftel of this, giving three months' advance notice from the date at which a Recipient Operator's further requests for Portability are likely to be refused, and setting out what measures are or have been taken to mitigate the problem.
To the extent that Parallel Running of any groups of numbers is permitted by the National Numbering Conventions, the donor operator must be able to recognise a ported customer on the basis of receiving a call for the ported customer based on his original and new numbers.
Where a Donor Operator has sub-allocated any Numbers to any Service Provider (including Mobile Service Providers), it is the Donor Operator's responsibility to ensure that those Numbers remain capable of being ported between operators.
It is a Recipient Operator's responsibility to ensure that all calls made to Ported Numbers, subject in the case of Specially-Tariffed Numbers to any network management actions reasonably undertaken in order to maintain network integrity and in response to abnormal demands, are correctly delivered once they are correctly received from the Donor Operator, and in particular the following rules apply:
No call received from another network to a ported Number shall be further forwarded to any public telecommunications network without appropriate steps being taken to ensure that routing instructions will not result in the call re-entering the recipient network.
For Geographic Portability:
Where a call to a Ported Number originates on the same local exchange as that on which the Ported Number is held, the Recipient Operator will recognise that call, and route and terminate it within its system, unless the Donor Operator has agreed that the call may be passed back to the Donor Operator via a Point of Connection for recognition and re-routing.
For Non-Geographic Portability:
Where a call to a Ported Non-Geographic Number originates on the same network as that on which the Ported Number is held, the Recipient Operator may recognise that call and route and terminate it within its system, but in the absence of such an arrangement the call will be passed to the Donor Operator via a Point of Connection for recognition and re-routing.
For Mobile Number Portability:
Where a call to a Ported Mobile Number originates on the same network as that on which the Ported Number is held, the Recipient Operator will recognise that call and route and terminate it within its system.
On receipt of an enquiry message from a donor operator indicating that the donor has a call for a ported number, the recipient will provide onward routing instructions back to the donor network in:
The Recipient Operator will inform the Donor Operator of any change in the circumstances of the service associated with any ported Number that may impact the Donor Operator's ability to route calls to that ported Number. (This includes, inter alia, in the case of geographic number portability, transfer of Numbers to another exchange in the Recipient Operator's network, change in the size of circuit group for transferred PBX and Centrex customers, and Subsequent Mobility, and in the case of non-geographic number portability, significant changes in call traffic volumes expected to be generated.)
Rule 4
(Note: this Rule does not apply to Non-geographic portability or Mobile Number portability)
A Recipient Operator will only provide Simultaneous or Subsequent Geographic Mobility to a Customer in respect of a Customer Number ported from a Donor Operator within the Service Area of the Donor Operator.
To the extent that Parallel Running of any groups of Numbers is permitted by the National Numbering Conventions, a Recipient Operator shall match the Parallel Running of such groups of Numbers by a Donor Operator.
For geographic and non-geographic number portability:
A Transit Operator will, when a call is received over a Point of Connection from a Donor Operator with the distinguishing 6 digit prefix 5xxxxx inserted before the full National Number, deliver the call to the appropriate Point of Connection of theRecipient Operator with the 6-digit prefix intact.
For Mobile Number Portability:
A Transit Operator will, when signalling messages related to a ported call are received over a Point of Connection from a Donor Operator or Recipient Operator deliver the messages without modification, and any call subsequently set up, to the appropriate Point of Connection.
Where an entire block of 10,000 Customer Numbers is transferred from a Donor Operator to a Recipient Operator, the Donor Operator shall notify the Oftel Numbering Scheme Manager to this effect. Such blocks will be transferred using the same techn