A report published today by OFTEL, the telecommunications watchdog, and the Office of Fair Trading (OFT) looks at the way e-commerce markets are likely to develop in the light of increasing internet connection speeds and the ability of devices other than just PCs to access the web.

The conclusions of today’s study include:

  • The growth of e-commerce is likely to be shaped by the increase in ‘unmetered’ internet access, higher bandwidth and new devices such as web-enabled phones and set-top boxes.
  • Technological developments point towards convergence, vertical integration and further consolidation being key market themes.
  • Access to networks and platforms, standards and intellectual property rights are likely to be the key e-commerce related issues for competition and regulatory authorities.
  • Regular assessments of the market, co-regulation between regulators and industry and powers and guidelines to stop anti-competitive behaviour will play an important role in fostering competition.

David Edmunds, Director General of Telecommunications, explained that competition in the mechanisms through which e-commerce will be delivered is the key to achieving development of e-commerce in the UK to its full potential. Edmunds said, “This will ensure that both businesses and home users enjoy maximum choice of e-commerce services through the medium of their choosing at competitive prices.”

A final report is expected in the Summer.

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