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Watching the regulator watching the telecoms industry
Wednesday 19 January 2005 17:47:00 by Andrew Ferguson

A question that needs to be asked, is who can be trusted in the Telecoms industry? Because it seems MPs are not totally sure of Ofcom, since they are to scrutinise the Ofcom strategic review of the telecoms industry. More details over on The Register.

The Trade and Industry Select Committee (TISC) is set to focus on the state of the UK broadband market, LLU services, and the functional separation of the different divisions in the BT Group. It could make for an interesting time, if we see the committee drawing different conclusions to Ofcom. Though as always it is hard to see what your average broadband user or small business stands to gain from this and all the other reviews.

Taking a simplistic view, the UK market is likely to emerge as one where some areas have plenty of competition in 12 months time, at both the wholesale and retail levels. Certainly the UK has massive competition between service providers at the retail level now. The question is what should be done about those parts of the UK that no-one is particularly commercially interested in? The current market strategy is such that in 5 years time, many market towns and villages will still have a single wholesale supplier in the form of BT.

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