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European Commission investigates local loop unbundling

OUT-LAW News, 12/06/2002

The European Commission today said that it is following with close attention the issue of access to the last mile of telephone lines into European homes, known as the unbundling of the local loop.

A public hearing will take place on 8th July 2002 to fully analyse the difficulties of new entrants seeking to rent copper lines from incumbents such as BT, to deploy their own services (in particular broadband services) to end-users.

Perceived problems include price practices that create market distortions (such as price squeezing or predatory pricing) and the issue of discriminatory terms and conditions that block effective access to the local loop. Two statements of objections were recently sent to incumbents Wanadoo and Deutsche Telekom for abusing their dominant position in the provision of broadband access.

The Competition Directorate General will present its findings and industry representatives will be asked to share their experiences and express their views on how to render effective unbundling.

Those interested to participate in the hearing must send their request by e-mail to the Commission by 15th June 2002 to comp-local-loop@cec.eu.int.

 

 

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