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23rd July,2004

Europe : National roaming, in the context of this document, is a facility that enables 3 to offer its customers the ability to make and receive calls in areas of the UK where 3 has not yet built its 3G network.

3 is currently supplied with national roaming by O2 under commercial contractual arrangements. Ofcom's proposal does not affect the ongoing provision of services under those arrangements.

Ofcom recognises the importance of national roaming to a new entrant 3G operator, and is committed to ensuring that 3 continues to have a high degree of certainty as to the availability of national roaming and the terms on which it will be supplied.

Ofcom considers that the high degree of certainty required by 3 can be achieved through means that are less intrusive than the imposition at this time of a new access-related condition on the four existing 2G mobile operators.

These means include the ability of Ofcom to impose an access-related condition in the future if this is required; and the ability of Ofcom to resolve disputes in relation to the provision of national roaming under dispute resolution powers contained in the Communications Act 2003.

Ofcom therefore believes that it would not be proportionate or objectively justified to impose, at this time, an access-related condition requiring the 2G mobile operators to provide national roaming to 3 in specified circumstances.

Ofcom must not impose conditions under the Communications Act 2003 unless it is satisfied that the condition is, amongst other things, proportionate and objectively justified.

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