Local loop unbundling is currently being implemented in the UK.
The unbundling enables competing telecoms operators to lease the
local loops of the fixed line incumbents (BT and Kingston
Communications) and install equipment at their exchange sites. By
upgrading these lines using DSL (digital subscriber line)
technologies, the plan is that operators can deliver
higher-bandwidth data services directly to end users thus
increasing competition. In addition, BT and Kingston are rolling
out their own ADSL wholesale services which they must provide on
non-discriminatory terms to all.
Under proposals published yesterday on shared access, telecom
operators will be given the option of providing voice calls and
higher bandwidth services (such as fast internet access, video on
demand or high-speed data transfer) or higher bandwidth services
only over unbundled loops. The aim is to let consumers choose to
buy higher bandwidth services from a competing operator while
retaining their existing voice service with BT or Kingston
Communications.
Oftel's proposals are aiming to promote effective competition,
leading to better service quality or lower prices. Oftel has also
separately approved technical guidelines on the types of equipment
that operators can use to provide a range of services to consumers
and businesses over unbundled local loops.
David Edmonds, Director General of Telecommunications, said:
"Allowing two operators to provide different
services over one telephone line means customers can choose to keep
their existing company for voice calls and buy high-speed services
from a competitor. Shared access will also make it easier for
competitors to enter the market, as it allows companies to offer
DSL services without voice telephony.
"This will increase choice for consumers,
and is why Oftel has welcomed the inclusion of shared access in the
European Commission's proposed regulation on local loop
unbundling.”
Oftel seeks comments from consumers, the industry and other
interested parties on its proposals on shared access by 21st
November 2000.
