BT will keep control of fibre broadband network
03.06.2010
New regulations being brought in by the EU will hand the balance of power back to BT, giving the company greater control over how competitors access the new fibre optic broadband network.
Currently with copper network there is a system known as Local Loop Unbundling (LLU) where other broadband providers access the network at the exchange, where they install their own equipment enabling them to offer cheaper broadband.
However, the new rules mean that competitors will have to access the new fibre installations through a Virtual Unbundled Local Access (VULA).
These new arrangements mean that competitors will only gain control of the customer’s line; while BT will be installing the equipment at the exchange and will be able to charge what they want, as there will not be any caps on pricing when it comes to VULA.
