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Vodafone was in head-on conflict with the European Commission yesterday after warning that mobile companies would slash investment in new networks if regulators did not ease up on prices.

The threat prompted the Commission's vice-president to declare:
"I call your bluff - I am on the side of the customer."

Vittorio Colao, the Vodafone chief executive, used his keynote speech at the Mobile World Congress in Barcelona to attack regulators who have forced down international roaming rates and wholesale interconnection rates at a time when telecoms companies were struggling. "We should stop having this continuous intervention on prices and let the industry reinvest the money," he said, The Times reports.
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