Feeds

Ofcom caps LLU charges

And other regulatory morsels

Next gen security for virtualised datacentres

Ofcom wants to set a price ceiling for fully unbundled local loops as part of plans to increase competition for wholesale broadband.

Last month BT cut the cost of renting a fully unbundled line from £105.09 to £80 a year. Despite BT's first move Ofcom is keen to set a cap on rental charges so that BT can't increase the cost to rivals at a later date.

So after months of analysis trying to figure out the value of BT's copper network Ofcom has finally worked out that the cap should be...wait for it...£81.85. Of course, this is just a proposal and Ofcom is consulting on this until October 10.

Local loop unbundling (LLU) - the process by which phone lines that service homes and businesses are disconnected from BT's network and reconnected to another provider such as Easynet, "Be" or Bulldog - is regarded as vital to help improve wholesale broadband competition.

Elsewhere, Ofcom also announced proposals that could give BT greater freedom to offer discounts to large companies. At the moment, BT is not allowed to veer from its published tariffs as part of a move to prevent the dominant telco from abusing its dominant position.

But Ofcom reckons there is now sufficient competition out there - among providers of telecoms to large companies at least - to give BT some extra elbow room.

The deregulation - should it be introduced - would apply to companies that spend in excess of £1m a year with BT.

And just to ensure that BT doesn't abuse its position and offer ridiculously low tariffs that would hurt rivals, the regulator is also proposing to limit how much BT can reduce its tariffs.

The industry has until November 16 to mull over Ofcom's plans. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
So, Apple won't sell cheap kit? Prepare the iOS garden wall WRECKING BALL
It can throw the low cost race if it looks to the cloud
Time Warner Cable customers SQUEAL as US network goes offline
A rude awakening: North Americans greeted with outage drama
We need less U.S. in our WWW – Euro digital chief Steelie Neelie
EC moves to shift status quo at Internet Governance Forum
Google has spaffed more cash on lobbying this year than Big Cable
Don't worry, it'll be cheaper when they use drones
EE fails to apologise for HUGE T-Mobile outage that hit Brits on Friday
Customer: 'Please change your name to occasionally somewhere'
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?