Broadband News

Ofcom relax narrowband market power regulations on BT

  • Wednesday, September 16, 2009 3:46 PM
  • 8 comments

The success of local loop unbundling (LLU) and wholesale line rental (WLR) brought about by the separation of Openreach from BT has lead Ofcom to believe that the fixed-line telephony market is competitive and BT no longer have significant market power (SMP). Ofcom therefore believes it appropriate to remove controls from BT in this market which should help improve BT's competitiveness. It will allow BT retail to start offering bundles including line rental with its other products such as broadband and its TV service, BT Vision.

ISDN2 is still deemed to be largely controlled by BT and Ofcom has not changed it's SMP opinion on this, however it does believe that Wholesale remedies in this market will be sufficient to maintain competition.

Ofcom didn't just evaluate the market for BT, it also looked at the other incumbent, KCOM, who operate the network in Hull. Here, Ofcom did not believe that market conditions had altered substantially for it to adjust its SMP ruling.

The Ofcom statement and the full report can be found here.

Comments

I love it that this event has attracted no comment in two days.

Perhaps a very minimal Broadband service could be defined and offered with the next rental hike for everone.

  • mikeblogs
  • over 7 years ago

I've stated before I'm all for a "basic broadband" package.

But yea, in general a very very overdue change.

  • Dawn_Falcon
  • over 7 years ago

So Openreach will be FULLY independent of BT?

Purely infrastructure?

  • otester
  • over 7 years ago

"Openreach is a BT Group business" (c) British Telecommunications plc 2009

so you're answer is "no".

Line rental £12 or line rental with BT broadband £19 anyone ?

  • herdwick
  • over 7 years ago

I take it this means if someone rings up BT about their voice service now the operator can try and sell BT broadband to you?

  • chrysalis
  • over 7 years ago

chrysalis - yes, no change. You will be talking to BT Retail.

  • Somerset
  • over 7 years ago

£19 or £12 if you on the light user scheme is that what you have in mind? Might be possible!

Perhaps the Mobile companies could start helping by using Femto cells - should be thought about at least, mostly meaningful contribution to inclusion so far.

  • mikeblogs
  • over 7 years ago

/Maybe/ they should mesh the mobiles into a network, which also includes routers and so on...and route all local calls over it.

Mesh networks, not just for...

  • Dawn_Falcon
  • over 7 years ago

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