BT wants to switch off traditional phone network

News Broadband United Kingdom 25 JUN 2015
BT wants to switch off traditional phone network

BT is calling on regulator Ofcom to let it shut down its traditional phone network as it looks to compete with US internet firms such as Facebook and Apple, reports The Telegraph. BT plans to transfer all domestic and business customers to internet-based calls within 10 years, but must continue providing a traditional phone service under Ofcom rules. It is now calling on Ofcom to end this obligation, which it argues will allow the company to increase broadband investment. BT also insists the move would have no impact on most customers who are already using internet phones.

BT's group director of regulatory affairs, Mark Shurmer, said it wanted obsolete regulation to be removed rather than waiting until the last user stops. The traditional phone network is currently managed by Openreach, with Ofcom currently considering the future of this unit as part of its overall communications market review. Both TalkTalk and Sky want Openreach to be fully separated from BT to establish a financially independent company. BT is campaigning for deregulation, and also wants to permission to use modern software to help it reduce Openreach costs by controlling its network from central BT data centres.

Related Articles