U.K. telecom regulator Ofcom put forth its proposal that requires incumbent phone company BT to open its new $2.3 billion last mile fiber network to drive competition in the emerging fiber-based broadband market.
With the new plan in place, competitive players including British Sky Broadcasting Group and Talk Talk would then be able to offer "super-fast broadband services" to consumers and businesses. Ofcom will let BT determine prices to sell access to its fiber network.
Under Ofcom's proposal competitors would be able to get access to BT's network through a "virtual link." The proposal also aims to encourage competitive carriers to build their own fiber networks by giving them access to BT's underground fiber ducts and aerial telephone poles. Right now, BT's Openreach division sells competitors access to its current fiber network.
"BT has already said that it is willing to open its ducts," Ross Cook, a BT spokesman, said in a Bloomberg article. "We agree with Ofcom that there are challenges with such access but we will work with industry to define a suitable product that meets everyone's needs."
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