BT given regulatory nod to offer discounted bundles

16 Sep 2009

The UK’s telecoms watchdog, Ofcom, has announced that incumbent BT will now be allowed to sell discounted bundles incorporating fixed line voice, broadband and TV services in a similar fashion to rivals, Reuters reports. Ofcom has concluded that BT no longer has significant market power (SMP) status, and claims that competition from alternative operators including Virgin Media and BSkyB is sufficient to allow the deregulation. The regulator noted, however, that whilst it had lifted the restrictions relating to the residential market, regulation still applied to services aimed at business and corporate users. In addition, Ofcom also took the opportunity to reaffirm its view that Kingston Communications (Kcom), the Hull-based fixed line provider, still dominates the sector in its home region, and as such will retain its SMP status.

United Kingdom, BT Group (incl. Openreach), KCOM, Ofcom