BT "not being forced" to open fibre broadband network

 

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By Barry Collins

Posted on 23 Mar 2010 at 10:39

Ofcom has announced a series of "new proposals" which it claims will "encourage the rollout of super-fast broadband" - even though most of the "new" initiatives are already in place.

Ofcom has formally stated that it wants rival ISPs to be given wholesale access to BT's fibre lines, in a process the regulator is dubbing "virtual unbundling".

However, BT has been offering wholesale access to ISPs for some time, leaving the company puzzled by Ofcom's announcement. "BT's fibre network is already open to all Communication Providers. It has been since we started to deploy it at the start of this year," BT said in a statement.

Ian Livingston said in 2008 that it would be open on a fair and equivalent wholesale basis and nothing has changed

"[BT CEO] Ian Livingston said in 2008 that it would be open on a fair and equivalent wholesale basis and nothing has changed. 17 CPs are either trialling or providing services using our unbundled service and so we are not being 'forced' to provide access. That access already exists."

Ofcom announced last year that BT would be given free rein over the pricing of wholesale fibre broadband, so what's new in today's announcement? "This is putting flesh on the bones of what we published in March last year," an Ofcom spokesperson told PC Pro. "By bringing it into a regulatory framework, we have the opportunity to influence how it's developed."

Duct access

Ofcom has also officially stated that it wants BT to let rivals use its underground ducts and telegraph poles, although BT has long stated that it's willing to open access to the underground ducts.

Ofcom's survey has found that up to half of BT's ducts have space for extra fibre, although the regulator concedes "availability is highly variable across the country and the practicalities of using BT's ducts and poles have yet to be worked out".

BT says that opening up the fibre ducts won't be a broadband panacea. "We agree with Ofcom that there are challenges with such access but we will work with industry to define a suitable product that meets everyones' needs," the company claims. "Duct access is unlikely to be the 'silver bullet' to get fibre to the countryside but all options should be explored".

Broadband price controls

The one truly new regulation in Ofcom's announcement comes in the form of price controls on BT's broadband services in areas of the country where BT is the sole supplier. Ofcom claims that 14% of homes are served solely by BT, and that these will be subject to future price controls.

Ofcom will issue another consultation to decide what these prices will be.