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May 21, 2008

Broadband market to be deregulated


by David Allen

In an announcement today, the communications regulator Ofcom said that they will be deregulating wholesale broadband in certain areas of the UK.

The way that this is going to work is complex but will mean that broadband users in cities and larger towns will be benefiting from this move.

It is estimated that around seventy per cent of the country could come under this ruling, but mainly the decision to deregulate will depend on what sort of competition there is operating in the area.

The rule is that there must be four or more wholesale broadband providers operating in these areas and there must not be any one company that has the majority share of any market either.

Ofcom believe that market forces will take over the regulator’s position in these areas, which will encourage growth and competition.

Story link: Broadband market to be deregulated


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