The regulator concluded the reviews of the physical infrastructure market and of the business connectivity market.
Background: Ofcom has been working on the review of the physical infrastructure and business connectivity markets (PIMR and BCMR, respectively) during 2019. In May, it published draft statements for both reviews, largely retaining the remedies proposed during the consultation phase. These were submitted to the European Commission for its review; while the EC provided comments, there are no material changes between May’s draft and the final decisions.
Unrestricted access to Openreach's ducts and poles: The key aspect of the PIMR is that it opens up Openreach’s physical infrastructure to a broader scope of businesses. Until now, it has been available to broadband providers focusing on residential and small-business customers. From now on, it is extended to firms serving large businesses, as well as companies laying high-speed lines that support mobile and broadband networks. This will facilitate the deployment of fibre for 5G backhaul.
A refined dark fibre remedy in the BCMR: Compared to the previous remedies, Ofcom has refined the scope of dark fibre access. Where there are no rival networks at Openreach’s exchanges, Openreach will be required to provide access to its dark fibre at a price that reflects its costs. This affects circa 3700 exchanges, where there are no rival networks within 100 metres.
A single market review from 2021: Ofcom also announced it will regulate business and residential markets together from 2021; this should simplify the framework for companies investing in full fibre that offer a range of services over a common network, serving both homes and businesses. Ofcom aims to consult in December on detailed proposals for this single wholesale fixed telecoms market review, which will set remedies for five years, until 2026.
