Ofcom gives British Telecom what they want: everything.
In 2007, UK telco British Telecom called running fiber to the home "
premature," instead opting to milk copper for a little longer. In 2008, they announced a widely lauded plan to invest in "fiber" (to the node), though the specifics
weren't particularly impressive when you looked a little closer. In short, British Telecom was telling the British Government that they'd only invest in network upgrades if the government ponied up subsidies and passed the laws the telco wanted. According to the
BBC, the government has done what it was told:
The focus of Ofcom's announcement is on making for a flexible wholesale model rather than opting, as some had predicted, for an environment where other operators laid their own fibre alongside BT's. There was "a lack of appetite" among the companies it consulted with for a fibre version of local loop unbundling.
British Telecom's still only offering fiber to the node to select customers, but now have less regulation and don't have to worry about most telcos' least favorite things: local loop unbundling and regulation. British Telecom also scored a huge win here by convincing British regulators to
lift all price controls. Of course, in the minds of telecom executives this is the proper path to telecom nirvana, while consumer advocates
argue the move simply results in less competition, higher prices, and a lower quality broadband product.
Any of this sound familiar?
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Sound like America to me
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