A slightly more detailed explanation
of what you say
It's worth pointing out that the system in the FTTC cabinet, and hence the reason for it being done this way, is basically a mini-sized version of what happens in the exchange with ADSLx.
ADSLx in the exchange is supplied through a DSLAM, or more recently an MSAN. The line from you to the exchange goes to that, instead of to the phone equipment in the exchange which it does on a phone-only line.
The phone equipment in the exchange is then connected to the DSLAM to allow phone calls to get onto the line from the DSLAM to you. All they have done is move that DSLAM out to near you and supply the broadband to it through fibre, then link your phone line at the PCP cabinet to it. So the combining happens there instead of in the exchange.
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