PM receives first Melita mobile call

Melita Mobile, a new operator that is promising to slash call rates by up to 30 per cent, will start operating this morning after it was formally launched yesterday.

"We're here to challenge Malta's reputation as the country with the highest mobile call rates," Melita chief operations officer Stephen Wright told a news conference.

Mr Wright promised to "rock the market" with cheaper prices. Melita invested €40 million to build a mobile network across the island.

The first phone call was received by Prime Minister Lawrence Gonzi, who was initially unsure which answer button to press on the new Nokia phone Melita gave him. He was soon talking to one of the company's workers who wanted to ensure the system was up and running.

Dr Gonzi highlighted the importance of competition, which unlocks the potential of innovation in an economy: "The competitive operators for fixed, mobile and broadband services demonstrate every day that competition is the key to investment, innovation and growth."

He said the penetration rate of mobile telephony had reached 93.2 per cent, an increase of more than 20 per cent in subscriptions over the past five years. Employment in telecommunications also increased by six per cent in the past year.

Speaking about the recruitment drive that followed Melita's investment, Dr Gonzi said this was even more significant, considering the uncertain international economic climate.

"The inauguration of this investment is a beacon of hope in a world dominated by a global crisis and recessionary fears," he said.

Dr Gonzi said that consumers were the real winners of competition, but the choice had to be real and consumers had to be protected.

"Consumers need to be properly informed as well as empowered to make the most of competition. The effectiveness of the regulator is crucial to support competition," he said, adding that the Malta Communications Authority had been critical in setting the right conditions for competition.

Authority executive chairman Philip Micallef said there were 100,000 mobile subscribers in 2000, before there was competition in the market, but these have increased four-fold and now stand at more than 400,000.

The new mobile provider is offering four types of packages, including pre-paid plans with no time window on the use of bought credit. Monthly tariff plans start from €15 and the subscription fee can be used against any mobile service.

Mr Wright announced that consumers who switch to Melita Mobile this month will receive a free month of mobile usage to all numbers, a free 3G mobile phone and free credit when topping up.