LONDON--The U.K. Office of Communications, or Ofcom, said
Wednesday it has notified the European Commission of its draft
decisions on the fixed narrowband market review that fixed retail
calls markets in the U.K., excluding the Hull area, remain
effectively competitive as no company holds a position of
'significant market power'.
MAIN FACTS:
-Ofcom has provisionally concluded that BT Group PLC (BT.A.LN)
has significant market power, or SMP, in the wholesale market for
call origination in the U.K., excluding the Hull area, and in fixed
call termination and has proposed remedies including charge
controls on BT in these markets, as well as in the provision of
interconnect circuits.
-Ofcom's draft decision is that KCOM Group PLC (KCOM.LN) has SMP
in the wholesale market for call origination in the Hull Area, and
has proposed a series of remedies as well as the provision of
interconnect circuits.
-In relation to providers of fixed call termination other than
BT, including KCOM, Ofcom has provisionally concluded that each
provider has SMP, and has proposed a requirement to provide network
access on reasonable request and a requirement to notify
charges.
-Subject to review by the Commission, Ofcom expects to publish
its final statement before the end of September.
-Write to Ian Walker at ian.walker@wsj.com
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