UK Regulator Sets Out Plans to Boost Fiber Broadband Competition

   By Adria Calatayud

U.K. telecommunications regulator Ofcom on Friday laid out plans to promote competition and investment in fiber broadband networks.

Ofcom said it will take different approaches in different parts of the country, depending on the intensity of network competition.

In urban areas where there is higher competition, Ofcom will only set prices for entry-level superfast services, giving providers the option to set prices for higher-speed and higher-quality services.

In more rural areas where there is no prospect of networks competing, Ofcom will allow BT Group PLC's (BT) infrastructure arm Openreach to spread the costs of fiber investments across a wider group of consumers, it said.

Ofcom proposed opening up access in rural areas to Openreach's so-called dark fiber--unused fiber optic cables--so competitors have physical access to Openreach's fiber cables based on costs, including a return on Openreach's investment.

The regulator said it plans to help Openreach move customers to fiber from its copper networks, once the business has built its full-fiber networks. The regulator will allow greater flexibility for Openreach in setting prices for copper-based broadband products to allow a managed transition to fiber services, it said.

The proposals will be open to consultation until June 7, Ofcom said. The regulator plans to launch a wider set of proposals, including market definition, market power and remedies in December, it said.

Write to Adria Calatayud at adria.calatayudvaello@dowjones.com

(END) Dow Jones Newswires

March 29, 2019 06:49 ET (10:49 GMT)

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