Ofcom called for looser regulation for Openreach, saying it will help boost investment in multi-party fiber optic broadband and allow for the deactivation of the UK's copper network. The UK regulator says its current strategy to stimulate competition across the fiber market has paid off, with total fiber coverage increasing significantly in recent years. So far, Openreach has connected 1,8 million properties to the network, half of which have been added in the last year, and is aiming for 15 million by the mid-2020s. , Virgin Media, TalkTalk and CityFibre too. are building networks, while Hull-based KCOM has delivered full fiber to the city.
UK launch on fiber
Ofcom believes its new proposals will "supercharge" this rollout, responding to government demands for acceleration and responding to industry calls for more favorable regulation. "These plans will help drive a full fiber future for the whole country," said Jonathan Oxley, Ofcom's interim general manager. "We are removing remaining barriers to investment and supporting competition, so that businesses can build the networks that will propel the UK onto the digital fast track." “Full fiber broadband is much faster and more reliable. It is essential that people and businesses around the world, whether in rural areas, small towns or cities, can reap these benefits. So we make sure that companies have the right incentives to speed up fiber optics in all regions of the UK. "Rather than using a single UK-wide approach, different regulations would apply to different parts of the country, depending on the level of competition and market potential. In urban areas, Ofcom would seek to promote competition by setting wholesale prices which would stimulate investment from both Openreach and other players. This would provide choice for mobile providers and networks, while improving broadband and mobile networks. However, in rural areas where there is no prospect of building multiple networks, the focus would be on improving the business case for Openreach. The government has already pledged €5bn in public funds to help. Ofcom would also prevent Openreach from offering discounts that beat rivals, while there will also be guarantees to ensure that broadband services broadband for consumers remain affordable.
Copper stop
Ultimately, the regulator will help Openreach to retire the UK's copper network, acknowledging the financial burden of operating two networks. In areas where full fiber is available, Ofcom would deregulate copper and help Openreach migrate customers to fiber. A 2033 deadline had been announced, but the government wants to bring that date forward, and a gradual regional lockdown, similar to the switch from analogue to digital terrestrial television, has also been suggested. "Today's proposals appear to be a big step in the right direction to bring clarity and certainty to investment," an Openreach spokesperson said. "Like the government and Ofcom, we want to upgrade the UK to faster and more reliable fiber optic broadband. "We will carefully consider the range of proposals and continue to work with Ofcom and industry to find the conditions for the government's ambition to deploy gigabit-compatible broadband in the UK as soon as possible." "The regulator's proposals to support investment in full fiber, including plans to improve connectivity in rural areas, are encouraging and should bring us closer to ensuring that no one left behind by limited access to online services," added Natalie Hitchins, who? Head of Home Products and Services. "But for people to really benefit from these schemes and investments, Ofcom, the government and The industry must work together, learning from the slow pace of fast ultra-broadband adoption, to ensure that consumers understand the benefits of these new, more reliable connections and are encouraged to accept them. "