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    BT ordered to separate from Openreach

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    papa_umau
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    BT ordered to separate from Openreach

    Post by papa_umau on Tue 29 Nov 2016, 11:42 am

    Ofcom orders BT 'separation' from Openreach network

    The regulator said it was disappointed that BT's response to competition concerns over its Openreach division had fallen short.

    Telecoms regulator Ofcom is to order a legal separation between BT and its Openreach network but stopped short of demanding a full break-up.

    Ofcom said it was proceeding with the move "after BT failed to offer voluntary proposals that address our competition concerns".

    It said it still backed a form of separation in which Openreach remained a wholly-owned subsidiary of BT but warned that if this failed it could reconsider a full split.

    Get the full report from Sky News HERE




    While I have been aware that the deal between BT and Openreach seems to be much too incestuous, while it seems that OFCOM agree with me they have not had the courage to do this separation job properly...yet.

    I guess the words "watch this space" fit this result.


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    Hell's Granny
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    Re: BT ordered to separate from Openreach

    Post by Hell's Granny on Thu 01 Dec 2016, 4:16 pm

    About time. It is at least 29 years since BT lost the monopoly to provide telephone services to most of the UK (Not Hull; it has always had it's own service). There was a brief flirtation with Mercury for public phones in the 70's, yet BT was still the major player in the cabling stakes until Cable TV and Sky came along. It is time Openreach (the cabling division of BT) was separated from the parent company.
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    papa_umau
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    Re: BT ordered to separate from Openreach

    Post by papa_umau on Fri 02 Dec 2016, 12:20 pm

    I wholeheartedly agree on that, as Openreach and BT have a far too incestuous connection in a market that should be wide open to competition.

    As you rightly say, they used to have a monopoly, and now they are getting back to those bad old days again.


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    zathrus
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    Re: BT ordered to separate from Openreach

    Post by zathrus on Sat 03 Dec 2016, 2:04 pm

    BT have always had a monopoly as far as land lines are concerned and the only act that has cut into this monopoly is what is called "Local Loop Unbundling" where other private companies get access to the BT exchanges in order to put in their own equipment.

    Find the full definition of this here: https://en.wikipedia.org/wiki/Local-loop_unbundling
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    Re: BT ordered to separate from Openreach

    Post by Hell's Granny on Sat 03 Dec 2016, 2:19 pm

    Thank you Zathrus, that will be interesting to read.
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    Re: BT ordered to separate from Openreach

    Post by zathrus on Sat 03 Dec 2016, 2:36 pm

    My pleasure HG. We are going to have to try to see that people like us look after the site when Paps is away on his holidays.

    Mind you, if I know him, he will find some way to get here through the ether from Lanzarote.
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    papa_umau
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    Re: BT ordered to separate from Openreach

    Post by papa_umau on Sun 04 Dec 2016, 11:39 am

    I have spoken about "local-loop-unbundling" in the past and yes it is one way which allows other private companies to compete with BT.

    This move by OFCOM is not really a total break between the two entities, as it is only the start of such an action.

    OFCOM says that if BT don't sort things out themselves they "may" be forced to completely separate from Openreach.

    This "legal separation", ( as can be read in the link supplied in my original post ), is just a threat to do it properly.


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    Re: BT ordered to separate from Openreach

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