BT launches Openreach

By Derek Sooman on January 11, 2006, 6:08 PM
BT has launched its network access business, Openreach. According to the company, Openreach will play a key role in enabling BT customers to get access to the most innovative and competitive communications market in the world.

Operators have long complained that the UK's dominant fixed-line telco has stifled competition, failed to develop new services fast enough and given preferential treatment to its own businesses.

In a bid to increase competition, the regulator struck a deal with BT comprising 230 "legally binding undertakings", with the monster telco promising never again to engage in the kind of behaviour that "restricts competition" and "discriminates" against its competitors.

The deal - which Ofcom reckons will encourage investment in infrastructure by other operators and promote innovation, while also leading to greater competition, lower prices and improved services - meant BT was spared an investigation that could have led to the break-up of the dominant telco.

Key to the deal was the creation of an access services division within BT - Openreach.




User Comments: 5

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MonkeyMan said:
Well, you know, this sounds similar to the Microsoft/European Union dispute, in which Microsoft is trying to kill all competition. In a way, I cannot blame these companies, for trying to eliminate all competition. Because, if you have no competition, that means your software is more valuable, and you will continuously receive high sales, and lower shrink levels. But hey, competition is a must in the general business world.
xerowingsx5k said:
Yes, competition is a must because it encourages companies to make their technologies better and to produce/serve their product more efficiently (Except for natural monopolies like PG&E.).
nathanskywalker said:
[url]http://www.ofcom.org.uk/[/url]okay, just thought i'd post a pointless link...
mentaljedi said:
[url]http://www.networkworld.com/news/2003/0428openreach.html
/url]Some info on its Wlan Security.
Cy6erpuke said:
Same problem here in South-Africa with telkom. We even have a site to encourage alternatives to the monopoly (http://hellkom.co.za). Check it out, quite funny.
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