France Challenges Skype Over Failure to Register as Telecom Operator

The French telecommunications regulator ARCEP (Autorité de régulation des communications électroniques et des postes) has informed the Paris public prosecutor that Skype has not registered as a telecom operator, despite being required to do so under French law.

According to ARCEP, the Luxembourg-based voice and video calling service may be committing an offense by failing to declare itself, in accordance with Article L.33-1 of the French Postal and Electronic Communications Code.

ARCEP considers Skype to qualify as an electronic communications operator because it offers a service that allows internet users located in France to place calls to fixed and mobile numbers in France and worldwide using computers or smartphones. That classification carries specific obligations, including the routing of emergency calls and enabling lawful interception when required by authorities.

“As a result, ARCEP has requested several times that Skype declare itself as an electronic communications operator, which the company has failed to do thus far,” the regulator said in a press release.

Responding to ARCEP’s statement, Skype told AFP: “We will continue to work with ARCEP in a constructive fashion to seek agreement on a resolution that ensures people, wherever they are, can continue to rely on Skype as they do today.”

The dispute reflects broader tensions between traditional telecom operators and over-the-top (OTT) service providers over data usage and market roles. Services such as Skype, Viber and WhatsApp allow users to make voice calls over data plans, which can reduce revenue for conventional telco carriers.

At this year’s Mobile World Congress, the competition between operators and OTT providers was a central theme in conference sessions and on the exhibition floor. Industry leaders debated whether telcos should compete with OTTs or seek partnerships.

David Thodey, CEO of Telstra, asked: “Are we going to fight OTT or are we going to find a way to partner?” In contrast, Talmon Marco, CEO of Viber, argued that telcos’ current initiatives to respond to OTT competition are “simply not taking off.”

Previous research, such as a study published in October by Amdocs, indicated that many service providers see OTT firms more as potential partners than outright threats, while also acknowledging the complexity and potential strategic maneuvering in such relationships.

Regardless of approach, the contest for customers and revenue share is likely to remain hard-fought, with both sides pursuing strategies to protect and extend their market positions.

For industry stakeholders, discussions on OTT and value-added service strategies continue to be important as operators adapt their business models and explore collaboration opportunities with internet-based communications providers.