Review findings for telecoms market to be revealed next week

The regulator Ofcom will publish its review into the telecoms and broadband market next week.

The review, the first in a decade, will initially look at the issue of whether BT has a monopoly over the market and will further assess whether Openreach, the company that looks after Britain's network, needs to be taken away from BT.

Sharon White, Ofcom chief executive, will outline her findings on the issues of the UK's state of broadband. It will have significant connotations on how people use the internet and the way the telecommunications market will operate.

BT's grip on the market will be assessed on a number of areas, ranging from the ease of consumers to switch broadband and telecom services, to the quality of its service that it provides.

At present, BT's rivals argue that BT exploits its ownership of the national broadband network and offers a sub-par service.

Early rumours indicate that Ofcom would prefer to separate the operations of Openreach and BT, by either amending the existing rules in place with BT or seeking a new regulatory framework with European authorities.

However, the review does not intend to make a definitive stance on Openreach, instead focusing on simply reporting its findings. These findings are then expected to be debated over a consultation period.

On the forthcoming announcement, one telecoms executive welcomed the investigation and acknowledged that the government wanted to continually safeguard and improve the UK's position as a leader in the technology industry.

“The government realises that this is the industrial policy for the 21st century. The UK might be OK against some benchmarked countries now but there is a serious risk it could fall behind as others build fibre networks,” they said.

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(Image: Kainet)