Out-Law / Your Daily Need-To-Know

Oftel, the UK telecommunications watchdog, has said that the development of high-speed internet access is still on-track, despite the decision of three US telcos to withdraw. However, Oftel has been criticised this week by a European Commission information officer and its director general has admitted to mistakes in the way it handled BT.

The director general of Oftel, David Edmonds admitted that his organisation should have acted “tougher and sooner” against BT. Critics warn that the UK could fall behind other European countries in opening up competition in the telecoms market.

Citing “commercial reasons,” WorldCom denied reports that its decision to pull out of the high-speed internet access race was due to failure by Oftel to pressure BT to ensure that the unbundling of its local loop is carried out fully and without discrimination. Oftel published its requirements for BT yesterday.

David Edmonds described the requirements as “tough” and said:

"This is the next stage in ensuring a level playing field for the unbundling of BT's local loop. These guidelines put all BT's competitors on the same footing as BT itself. If there is any dispute between an operator and BT it will be resolved by Oftel. If necessary, I shall not hesitate to make Determinations requiring BT to comply…

"Local loop unbundling will bring a step change to businesses, consumers and the telecoms industry itself. I am determined to implement it as quickly as possible so that all companies can compete fairly to deliver these revolutionary new high speed services."

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