Feeds

Deutsche Telekom cuts broadband tariffs

EC antitrust probe does the trick

  • alert
  • submit to reddit

Combat fraud and increase customer satisfaction

Deutsche Telekom has agreed to cut the charges rivals must pay to access its local telephone network or local loop. The decision is in response to European Commission antitrust charges which resulted in the company being fined €12.6 million last year. German DSL outfit QSC complained about unfair fees and Deutsche Telekom paid the price.

DT’s concession will lead to significant reduction in the line-sharing fee that competitors pay the company for shared access, in particular for DSL lines.

Despite a 2001 EU directive that DT must give competitors shared access to its local loops, only a few rivals in Germany found it profitable to avail themselves of this. No company entering the fray has been able to reach any significant market position.

Deutsche Telekom is the dominant supplier of broadband access in Germany, both wholesale and retail. DT had 4.1m broadband lines at the end of 2003 compared to a mere 500,000 for rival operators - few of them based on line sharing.

"We believe that competition between operators is the best means for bringing the overall prices down," said EC competition commissioner Mario Monti.

Despite these developments, BT still intends to make broadband a mass market in Germany and attract at least ten million DSL customers by 2007. ®

Combat fraud and increase customer satisfaction

More from The Register

next story
Virgin Media so, so SORRY for turning spam fire-hose on its punters
Hundreds of emails flood inboxes thanks to gaffe
A black box for your SUITCASE: Now your lost luggage can phone home – quite literally
Breakfast in London, lunch in NYC, and your clothes in Peru
AT&T threatens to pull out of FCC wireless auctions over purchase limits
Company wants ability to buy more spectrum space in auction
Turnbull leaves Australia's broadband blackspots in the dark
New Statement of Expectations to NBN Co offers get-out clauses for blackspot builds
Facebook claims 100 MEEELLION active users in India
Who needs China when you've got the next billion in your sights?
Facebook splats in-app chat, whacks brats into crack yakety-yak app
Jibber-jabbering addicts turfed out just as Zuck warned
Google looks to LTE and Wi-Fi to help it lube YouTube tubes
Bandwidth hogger needs tube embiggenment if it's to succeed
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.