The chief executive of Openreach has called for continued investment in full fibre to extend the build to the “more challenging and costly” parts of the UK.
In “A blueprint for continuing success in the UK’s telecoms market”, published on the Openreach website, Clive Selley said he was confident Openreach could cover 30 million premises by the end of 2030, given the right regulatory environment. Openreach is already on track to deliver full fibre to 25 million homes by 2026.
“It is ultimately UK consumers who will benefit from this investment and increased competition, so Ofcom should reject self-interested calls from some parts of the industry to restrict how Openreach competes. Because it’s clear that would lead to higher prices, weaker competition and a dilution of choice for consumers and businesses. In fact growing competition presents the opportunity to roll back regulation in many areas.”
Selley also called on Government to allow Openreach to use ducts and polls installed by its rivals.
“Ofcom and Government should also require Virgin Media O2 (VMO2) and others to open up their duct and pole networks on the same transparent terms including price as Openreach’s duct and poles product,” he said.
In response a spokesperson for Virgin Media O2 spokesperson told Broadband TV News: “The ability to use Virgin Media’s ducts on a commercial basis already exists, but Openreach has significant market power in the UK and a footprint that covers almost all of the country, so it is right that it remains appropriately regulated to ensure it cannot use its monopolistic muscle to constrain emerging competition. Virgin Media O2 and others are building fibre to increase network choice in the UK and it’s important that Ofcom supports these investments so that truly scaled competition can be realised in future. Calling for regulatory intervention on others who are building alternative networks is a worrying and diversionary tactic that Openreach has used before with no success.”
Selley’s comments come three years in to Ofcom’s Wholesale Fixed Telecoms Market Review (WFTMR), and a series of rules that took effect on 1 April 2021, and which the regulator anticipated would be good for a full ten years from its inception.
