BT to open up fibre ducts to rivals

By Sean Hargrave
Published: February 8th, 2010

BT is to open its fibre ducts to allow third parties to roll out their own fibre networks.
In a move its Chief Executive described as ‘unlikely to be the silver bullet that will get fibre in to every home’, the broadband giant has arguable pre-empted future legislation that would have forced it to open its ducts.
The Conservative Party had already warned BT that it would force it to open its fibre ducts if elected and there was growing pressure on the company to offer rivals an alternative above and beyond a wholesale service. Sky and TalkTalk had been very vocal in their opposition to BT’s wholesale fibre proposals, claiming they lacked ‘imagination’ and ‘flexibility’.
However, Livingstone claims BT has been in discussions with Ofcom last year over opening its ducts and so rebuffs any suggestion that the move was influenced by political pressure or from rival operators critical of its wholesale plans.

Detracting opposition?

In fact, the move could be seen as BT raising the stakes in the heated conversations over its wholesale fibre products which rivals who are calling for the options on offer to be varied so they can offer a range of end products.
By opening up its fibre duct network, allowing rivals to lay their own fibre without the cost of inconvenience of digging up roads, BT can at least claim to be offering rivals an alternative to taking its wholesale product. TalkTalk has certainly suggested it was so unhappy with the wholesale offer in front of it that it would investigate its fibre roll out options.
However, with operators now being given the green light to roll out their own networks BT may well be feeling it has offered an alternative and shifted attention away from its proposed wholesale fibre offering.
Nevertheless, speculators are suggesting that BT will still come under increasing to improve the wholesale options available to third party operators opened up by its current £1.5bn fibre roll out.

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Category: Broadband Availability, Broadband Business, Broadband Fibre, Broadband Issues, Broadband Pricing

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