The current rules are for BTW to change the price by "11% below inflation" annually. I guess that will eventually get unreasonable

In reply to a post by WWWombat:

The current rules are for BTW to change the price by "11% below inflation" annually. I guess that will eventually get unreasonable

It seems the charge control ends on 31 March 2014.

Just to say no chasing for anyone anymore.

Did not catch the show if it went out on Radio 4, but leaving thread open if people want to continue discussion.

What was the name of the show please? We can Listen again.

In reply to a post by Oliver341:

The price that the regulator (Ofcom) forces BT Wholesale to charge in Market 1 areas has to be reasonable though. If Ofcom order BT Wholesale to lower their prices to a level which BT believes is unreasonable, BT will take it to court.

OFCOM originally set it high in order to encourage LLU competition.
It did not work, now it never will.
Reducing the price gradually just means the reduction simply does not get passed on to the consumer.
It would be better to cut the CONSUMER price of old ADSLmax to minimum to encourage
BTO to invest.
Regards,
Martin

In reply to a post by martinsq:

It would be better to cut the CONSUMER price of old ADSLmax to minimum to encourage
BTO to invest.

How would it do that? Would you invest in a product you didn't have to supply, that would make a loss, because you weren't allowed to sell your existing one at a profit.

You'd just stop selling the existing one if that was forced to make a loss as well.

Agreed. Ofcom would have no business forcing ISPs, who operate in a competitive retail market, to offer lower retail prices.

Just realised - it isn't Openreach that is responsible for the provision or not of ADSL2+ services anyway. Assuming that's what the poster wants.

Neither will OR go for fibre unless one or more of its three major customers say they want it there. That seems unlikely from what the poster says.

It has been broadcast.

http://www.bbc.co.uk/programmes/b01nb28d start listening at 27:20

Apparently the reason why Market 3 prices have not been offered to existing Market 2 users is because it's they're still in a trial phase.

Edited by jelv (Wed 17-Oct-12 15:59:31)

In reply to a post by Oliver341:

Agreed. Ofcom would have no business forcing ISPs, who operate in a competitive retail market, to offer lower retail prices.

It is NOT a competitive market, on Market 1, BTO is the only provider !
OFCOM has the power to regulate BTO wholesale prices, as it still holding the monopoly on the copper network.
When I said "minimum" consumer price, it does NOT mean a price at which BTO makes loss,
merely a price that would incentivise them to update the equipment.
Regards,
Martin