Out-Law / Your Daily Need-To-Know

Telecoms watchdog Oftel yesterday ordered BT to agree a new wholesale leased line product with other operators. Operators will be able to buy wholesale leased lines from BT and use them to provide a wide range of dedicated telecoms services to their customers when the negotiations are successfully completed.

Leased lines are permanently connected communications links that are used by business and other operators for 'always on' telecommunications services such as voice and data traffic and internet access.

Under a Direction published yesterday, BT has two months to agree the terms and conditions for providing wholesale leased lines, and a further month and a half to offer the product to the operators.

Oftel hopes that the implementation of this Direction will introduce greater competition in the provision of leased lines and will increase choice and downward pressure on prices for UK businesses. Operators will be able to gain access to BT's leased lines network and therefore compete more effectively with BT and each other.

If BT and the operators are unable to reach agreement, either party can refer the dispute to Oftel to set the terms and conditions.

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