Feeds

BT ordered to pay £95m to rivals it overcharged for FIVE years

Backhaul rates unjustified, rules Ofcom

Security for virtualized datacentres

BT overcharged its rivals £95m between 2006 and 2011 - and will pay the excess back to TalkTalk, Virgin Media and others following an Ofcom probe.

There were three investigations in total: one was triggered by Verizon UK, another by Cable & Wireless and the third by an aggregation of ISPs including TalkTalk and Sky.

They all claimed that since April 2005 BT overcharged for its Backhaul Extension Service (which connects unbundled exchanges to an ISP's network) and Wholesale Extension Service (connecting bits of the network together), both of which are provided by BT for a one-off fee and ongoing rate, and it's this rate that Ofcom feels was exceeded.

Not that the communications watchdog jumped to that conclusion; its investigation started in September 2010 and involved appeals and counter appeals as well as additional evidence from BT as it sought to justify the charges.

And it's not over yet.

"We are disappointed with Ofcom's determination that we overcharged," the national telco told us in a statement. "We are considering all options available other us, including appealing."

Ofcom issued a draft decision eight months ago, and this final ruling is much the same so it isn't that much of a surprise. BT is keen to point out that it has the money stashed away just in case it loses or decides against prolonging the process any further. ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
You! AT&T! The only thing 'unlimited' about you is your CHEEK, growl feds
Man, we did everything but knock on their doors - carrier
The DRUGSTORES DON'T WORK, CVS makes IT WORSE ... for Apple Pay
Goog Wallet apparently also spurned in NFC lockdown
Watch out, Samsung and Apple: Xiaomi's No 3 in smartphones now
From obscurity to selling 19 million mobes a quarter
Brazil greenlights $200m internet cable to Europe in bid to outfox NSA
Only one problem: it won't make the slightest difference. And they know it
Wanna hop carriers with your iPad's Apple SIM? AVOID AT&T
Unless you want your network-swapping tech disabled for good, that is
Knocking Knox: Samsung DENIES vuln claims, says mysterious blogger is a JOKER
But YES, system does store encryption key on the device
prev story

Whitepapers

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.
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.
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?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Managing SSL certificates with ease
The lack of operational efficiencies and compliance pitfalls associated with poor SSL certificate management, and how the right SSL certificate management tool can help.