bmcoforum Calls on European Commission and Member States: No Additional Customs Duties on Mobile TV Enabled Mobile Phones and Their Components

The European Commission plans to confirm a special 14% tax for high-end mobile TV enabled mobile phones upon entry to the EU. This poses a risk for the development of Mobile TV into a mass-market service.

Washington, DC, February 02, 2009 --(PR.com)-- In its communication to the European Parliament on 18 July 2007, the European Commission called on all member states to strengthen the internal market for mobile TV. During this time the Commission regarded mobile TV as being at the forefront of high-value, innovative services, with indications of a potential market value between € 7 billion and € 20 billion by 2011. Mobile TV was also forecasted as having the potential to reach between 200 million and 500 million customers worldwide.

Recently the European Commission published a communication on the legal framework for mobile TV networks and services by identifying best practice for authorisation.

The Broadcast Mobile Convergence Forum has previously supported proposals from the European Commission as fostering the development of mobile TV into a mass-market service.

Of the many factors involved in the success of broadcast mobile TV services, handset availability is arguably the most critical. A wide range of attractive, feature rich handsets at a variety of price points is crucial to the rapid uptake of mobile TV services by consumers.

The Broadcast Mobile Convergence Forum believes that the introduction of a 14% customs duty upon entry to the EU on high-end mobile TV enabled phones as well as on components, produced outside the EU and used to manufacture mobile TV enabled phones in the EU will seriously threaten the development of mobile TV into a mass market service. The impact of the customs duty will limit the availability of new mobile TV devices as a result of increased end-user prices, and negatively influence technical innovation that targets convergence of mobile TV with other technologies such as multimedia and internet browsing in one device for end-user convenience.

Franklin Selgert (KPN), chairman of the bmcoforum board: “bmcoforum members are surprised by the non-harmonised approach of the European Commission regarding the development of mobile TV-fostering it on the one hand and setting barriers to its adoption on the other. We call on European Commission and member states not to set any additional customs duties on mobile TV enabled components and devices.”

About the bmcoforum:
The ‘Broadcast Mobile Convergence Forum’ (bmcoforum), the worldwide leading industry association on mobile broadcasting, was founded to shape an open global market environment for mobile broadcast services. The more than 100 members of bmcoforum join forces to identify relevant content and services, support technology standardization and implementation, as well as lobbying for spectrum and suitable regulatory framework, to accelerate commercial implementations of new user experiences in receiving broadcasting services and initiating interactivity at mobile devices.

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