Mobile broadband jeopardised by regulation?

The GSM Association, the trade group that represents over 750 mobile operators worldwide, says the European Commission's regulations are causing networks to cut back on their spending - which could slow down the deployment of new networks. It says the EC claims operators need to have charges capped because of excessive profits, but the European mobile industry's return on capital employed was just 9% in 2006 (compared with more than 20% in other sectors) and was no higher in 2007. It also points out that usage hasn't substantially increased despite the introduction of roaming caps, with roaming call volumes increasing by 11% in the year to July 2008 but roaming revenue from voice calls decreasing by 26%. [Press release]