Yesterday’s trade press was dominated by the news that Ofcom has issued a directive that BT must ‘legally separate’ from its Openreach division. On the face of it, the move is designed to level the market playing field and encourage fairer competition but of course, whether it does remains to be seen. It’s important to appreciate that BT won’t have to split Openreach off entirely – it will still own Openreach, albeit as a legally separate entity. So what will this mean for the industry, resellers and customers?
Openreach will become a distinct company with its own board, says Ofcom, with non-executives and a chairperson not affiliated with BT (the newly appointed former Ofcom board member Mike McTighe). Ofcom also wants Openreach to have control over its branding and budget allocation. Importantly, it will have a duty to treat all of its customers equally.Read More »
Building on last month’s Strategic Review of Digital Communications wherein BT was reprieved of a full split from Openreach, Ofcom has today published its draft Business Connectivity Market Review of the £2bn Leased Lines market. The findings mean that BT will be forced to open its Dark Fibre to competitors by October 2017 as well as fixing faults within 5 hours, reducing the average install time to 40 days (which hasn’t been achieved since 2011) and lowering wholesale prices, with the aim of making this premier connectivity solution more affordable to businesses across the country.Read More »
BT must have breathed a sigh of relief this morning when it was confirmed that Openreach would not be split off from the Group as a result of Ofcom’s once-in-a-decade strategic review. Other industry players, Entanet included, are not quite so thankful.
While we welcome Ofcom’s recognition that Openreach requires reform in order to improve services across the industry on behalf of British consumers, ultimately we believe that the regulator has wasted this opportunity to effect real change. The crux of the issue for us has always been that, with its effective monopoly, Openreach has been allowed to fall into a stupor of delivering poor service to both industry competitors; who are forced to use it in delivering the last mile and fault fixes; and customers alike. It has, in effect, been allowed to bring the industry into disrepute. Read More »
Posted on Feb 23 2016 by Neil Watson | 1 Comment
Industry has argued against it since it was first mooted in 2014, but from 16th March BT Openreach will no longer be supplying a modem on fibre-to-the-cabinet (FTTC) installations (including upgrades from ADSL/2+). While Openreach say that this industry-wide change will simplify provision by dispensing with the need to book an engineer appointment, in reality we think the advantages and disadvantages will be more widely felt. As a wholesale supplier, we are wary of the impact on both resellers and consumers – especially in terms of the potential for confusion and misunderstandings.
Two new installation options will be available in place of the withdrawn product, both of which require the consumer to supply and connect their own Openreach-approved modem/routing device.
Option 1 is a standard installation and will see an engineer complete a ‘wires only’ connection at the PCP (primary connection point, aka the cabinet) and will not visit the consumer’s premises. This means that the NTE5 faceplate will not be changed and the consumer will need to fit VDSL filters to all extensions in order to complete the installation.
Option 2 – a ‘managed’ installation – is available at an additional cost. With this service an engineer will visit the consumer premises to uplift any wiring and fit a service specific faceplate – they may also connect the modem/routing device if it’s available at the point of connection.Read More »
It’s certainly been an eventful year within the industry, with plenty of innovations and new technologies and trends emerging, an abundance of regulatory changes both UK and EU based, industry process changes with things like the new switching process and channel unrest with a clear backlash against BT’s relationship with Openreach. We’ve tried to keep you up to date and informed about the key issues that affect you and your customers as part of this fascinating channel, as well as providing useful eBooks and sales advice along the way too.
If you missed any of the blog this year and would like a quick recap, why not download our ‘2015- A year of Opinion in review’ eBook and have a catch up over the holidays. Simply enter your email address into the form field below to receive your free copy. Read More »