Feeds

Oftel should consider splitting BT in two say MPs

UK hits 500,000 broadband milestone

  • alert
  • submit to reddit

Security for virtualized datacentres

An influential group of MPs has called on telecoms regulator Oftel to study proposals for the break-up of BT.

A report by the Select Committee on Culture, Media and Sport yesterday highlighted a proposal from Cable & Wireless that BT's network business should be split from its other services.

If this were to happen it's argued that it would ensure free and fair competition between service retailers and encourage further price cuts.

The MPs also hit out at the regulator over the progress being made on establishing a competitive marketplace for broadband in the UK.

Said the committee: "We recommend that Oftel, and OFCOM when it takes over the responsibilities of Oftel in due course, should take serious note of criticisms of its effectiveness in establishing a competitive UK market for broadband and follow up with remedial action - taking account of the proposal to require BT's network to stand on its own as a distinct business."

A spokesman for BT dismissed the idea, saying there was no reason why its business model should be changed.

The MPs' critical report coincides with news that there are now more than 500,000 broadband connections in the UK.

In an upbeat assessment of broadband in the UK Oftel claims that with more than 20,000 broadband connections a week, the current level of growth outstrips the equivalent demand for mobile phones and dial-up Internet when they were first introduced.

And despite criticisms by the Select Committee Oftel maintains that the UK has more competition at both network and service levels than many European countries.

Oftel boss David Edmonds said that Oftel had taken action to create competition at all levels of the broadband market

"Competition has resulted in growing take up rates and falling prices.

"Oftel has promoted competition between different networks and different service providers to ensure consumers get a wide range of choice and prices," he said. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
IBM storage revenues sink: 'We are disappointed,' says CEO
Time to put the storage biz up for sale?
'Hmm, why CAN'T I run a water pipe through that rack of media servers?'
Leaving Las Vegas for Armenia kludging and Dubai dune bashing
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
Windows 10: Forget Cloudobile, put Security and Privacy First
But - dammit - It would be insane to say 'don't collect, because NSA'
CAGE MATCH: Microsoft, Dell open co-located bit barns in Oz
Whole new species of XaaS spawning in the antipodes
VMware's tool to harden virtual networks: a spreadsheet
NSX security guide lands in intriguing format
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.