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Technology Stocks : LAST MILE TECHNOLOGIES - Let's Discuss Them Here

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To: Warren Gates who started this subject9/30/2000 12:08:50 PM
From: elmatador   of 12823
 
THE GUARDIAN: BT EXCHANGES MAY GO TO AUCTION
The Guardian - United Kingdom, Sep 30, 2000, 281 words

Space in BT exchanges could be auctioned or awarded to rival companies by means of a lottery to solve the controversy surrounding the break-up of the local telephone network.

The options are to be put forward in a consultation paper from the telecommunications industry regulator, Oftel, which is likely to be published during the coming week.

In the past few days Oftel has received a formal request to make a determination on how space in the exchanges should be allocated.

At present, demand from rival operators for access to the BT exchanges far exceeds the space available in many of the more popular, and potentially lucrative, areas.

Other options expected to be outlined in the paper include giving out space on a first-come first serve basis and each company getting to prioritise their bids.

One insider said: 'The question is do you have lots of op erators in lots of exchanges but with only limited capacity or do you give more capacity but limit the number of companies, in which case they are likely to have only patchy national coverage.

'It is a terrible issue to have to try to resolve.'

He said the options of an auction or lottery had been examined by other countries but were not the most likely way forward.

The break up of BT's monopoly has become contentious. The so-called unbundling of the local loop has become closely identified with the development of broadband services such as high speed internet provision.

Rival companies aim to install a technology known as digital subscriber line, or DSL, in exchanges, upgrading the old copper wire network.

BT has been accused of dragging its feet over the process which is due to come into effect in July next year, six months after EU regulations say the local telephone networks should be broken up.

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