Ofcom the super regulator today has published a statement which means that BT will have to drop its wholesale broadband prices by 12% below inflation where they are the only broadband provider. Ofcom believes this will lead to better competition as resellers can provide a better quality of service.
The price controls come into effect on 17th August 2011 and remain in effect until March 2012.
Ofcom also published a statement on charge controls for 08 and 09 number ranges as BT has significant market power for call origination and also number translation services.
Showing posts with label WBA. Show all posts
Showing posts with label WBA. Show all posts
2011/01/20
Ofcom proposes WBA charge controls
Ofcom the super regulator is holding a consultation on placing charge controls on BT for their Wholesale Broadband Access (WBA) services in areas where they are still a monopoly.
This should see price reductions to ISPs of between 10.75% and 14.75%. As part of the consultation Ofcom have also proposed changes to the cost of capital estimates for BT.
Stakeholders can respond on-line and the consultation closes on 31 March 2011 and Ofcom want to implement the changes after that.
This should see price reductions to ISPs of between 10.75% and 14.75%. As part of the consultation Ofcom have also proposed changes to the cost of capital estimates for BT.
Stakeholders can respond on-line and the consultation closes on 31 March 2011 and Ofcom want to implement the changes after that.
2010/03/23
Ofcom consults on two new TLAs, WBA and WLA
Ofcom has announced two new consultations (both close on 01/06/2010): -
* Wholesale Local Access market
* Wholesale Broadband Access
WLA is concerned with BT offering fibre-to-the-(street) Cabinet or FTTC / fibre-to-the premises FTTP services to 3rd parties (i.e. other operators) and this is likely to be done using Virtual Unbundled Local Access (VULA) i.e. BT will have to provide a virtual connection across its network to the 3d party. BT will also have to make available duct or pole space to allow 3rd parties to install their own fibre deployments known as Physical infrastructure access (PIA).
WBA is concerned with broadband market across the UK and where companies have significant market power or SMP. BT is SMP for most of the UK with the noticeable exception of Hull which is is serviced by Kingston Communications who have SMP. However where local local unbundled services are offered by at least 3 other operators, BT do not have SMP.
The are therefore four separate geographic markets:
* The Hull area (covering 0.7% of UK premises): those areas covered by exchanges where KCOM is the only operator.
* Market 1 (covering 16.4% of UK premises): those areas covered by exchanges where BT is the only operator.
* Market 2 (covering 13.7% of UK premises): those areas covered by exchanges where there are 2 or 3 operators.
* Market 3 (covering 69.2% of UK premises): those areas covered by exchanges where there are 4 or more operators.
KCOM hold a position of SMP in the Hull Area. BT hold a position of SMP in Market 1 and in Market 2, but that no operator holds a position of SMP in Market 3.
Ofcom want to take steps to ensure growth with occur in markets 1 and 2 and BT can not make excessive price rises.
Anyone can respond to the consultations via the Ofcom website for WBA and WLA
* Wholesale Local Access market
* Wholesale Broadband Access
WLA is concerned with BT offering fibre-to-the-(street) Cabinet or FTTC / fibre-to-the premises FTTP services to 3rd parties (i.e. other operators) and this is likely to be done using Virtual Unbundled Local Access (VULA) i.e. BT will have to provide a virtual connection across its network to the 3d party. BT will also have to make available duct or pole space to allow 3rd parties to install their own fibre deployments known as Physical infrastructure access (PIA).
WBA is concerned with broadband market across the UK and where companies have significant market power or SMP. BT is SMP for most of the UK with the noticeable exception of Hull which is is serviced by Kingston Communications who have SMP. However where local local unbundled services are offered by at least 3 other operators, BT do not have SMP.
The are therefore four separate geographic markets:
* The Hull area (covering 0.7% of UK premises): those areas covered by exchanges where KCOM is the only operator.
* Market 1 (covering 16.4% of UK premises): those areas covered by exchanges where BT is the only operator.
* Market 2 (covering 13.7% of UK premises): those areas covered by exchanges where there are 2 or 3 operators.
* Market 3 (covering 69.2% of UK premises): those areas covered by exchanges where there are 4 or more operators.
KCOM hold a position of SMP in the Hull Area. BT hold a position of SMP in Market 1 and in Market 2, but that no operator holds a position of SMP in Market 3.
Ofcom want to take steps to ensure growth with occur in markets 1 and 2 and BT can not make excessive price rises.
Anyone can respond to the consultations via the Ofcom website for WBA and WLA
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