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BT Retail considering LLU..

 
 
Sunil Sood
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      06-09-2004, 01:37 AM
"Danon has other plans.... Intriguingly, he is considering* a huge
investment to install BT Retail's own network equipment in BT Wholesale's
exchanges - taking advantage of the "local loop unbundling" process that was
intended to help BT's competitors. This would enable BT to offer a more
innovative range of broadband entertainment services."

*Assuming Ofcom doesn't force BT Retail to offer Wholesale versions of
this...

Regards
Sunil


 
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Mike Cawood, HND BIT
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      06-09-2004, 08:24 AM
"Sunil Sood" <(E-Mail Removed)> wrote in message
news:(E-Mail Removed)...
> "Danon has other plans.... Intriguingly, he is considering* a huge
> investment to install BT Retail's own network equipment in BT Wholesale's
> exchanges - taking advantage of the "local loop unbundling" process that

was
> intended to help BT's competitors. This would enable BT to offer a more
> innovative range of broadband entertainment services."
>
> *Assuming Ofcom doesn't force BT Retail to offer Wholesale versions of
> this...
>
> Regards
> Sunil
>
>

You mean that BT will install equipment in BT exchanges!!!!!
WOW!
BT Retail and BT Wholesale are the same firm, it's all BT - totally puzzled.
Mike.



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Sunil Sood
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      06-09-2004, 09:47 AM

"Mike Cawood, HND BIT" <(E-Mail Removed)> wrote in message
news:ca6hfo$23d$(E-Mail Removed)...
> "Sunil Sood" <(E-Mail Removed)> wrote in message
> news:(E-Mail Removed)...
> > "Danon has other plans.... Intriguingly, he is considering* a huge
> > investment to install BT Retail's own network equipment in BT

Wholesale's
> > exchanges - taking advantage of the "local loop unbundling" process that

> was
> > intended to help BT's competitors. This would enable BT to offer a more
> > innovative range of broadband entertainment services."

>
> You mean that BT will install equipment in BT exchanges!!!!!
> WOW!
> BT Retail and BT Wholesale are the same firm, it's all BT - totally

puzzled.

Yes, thats what I mean.

While BT Retail and BT Wholesale are both part of BT - they have to act as
separate companies and "buy" services from each other - at the same prices
that other competitors do.

As such, BT Retail are considering using LLU(as Easynet, HomeChoice and
Bulldog have done) which will enable them to sell "exclusive"/unique xDSL
services/products that BT Wholesale don't offer.

Anything BT Wholesale sell has to be offered "Wholesale" to other
companies/telco's/ISP's which then means the competition undercut BT Retail.

This way BT Retail is able to sell a product range that its competition
don't have access too..

Regards
Sunil


 
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Mike Cawood, HND BIT
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      06-09-2004, 03:22 PM
"Sunil Sood" <(E-Mail Removed)> wrote in message
news:(E-Mail Removed)...
>
> Yes, thats what I mean.
>
> While BT Retail and BT Wholesale are both part of BT - they have to act as
> separate companies and "buy" services from each other - at the same prices
> that other competitors do.
>
> As such, BT Retail are considering using LLU(as Easynet, HomeChoice and
> Bulldog have done) which will enable them to sell "exclusive"/unique xDSL
> services/products that BT Wholesale don't offer.
>
> Anything BT Wholesale sell has to be offered "Wholesale" to other
> companies/telco's/ISP's which then means the competition undercut BT

Retail.
>
> This way BT Retail is able to sell a product range that its competition
> don't have access too..
>
> Regards
> Sunil
>
>

So effectively BT is now split into two, Retail and Wholesale, presumably
this was forced by Ofcom or government, because I cannot see the directors
of BT agreeing to this.
Regards Mike.



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      06-09-2004, 03:40 PM
In article <(E-Mail Removed)>,
Sunil Sood <(E-Mail Removed)> wrote:
>While BT Retail and BT Wholesale are both part of BT - they have to act as
>separate companies and "buy" services from each other - at the same prices
>that other competitors do.
>
>As such, BT Retail are considering using LLU(as Easynet, HomeChoice and
>Bulldog have done) which will enable them to sell "exclusive"/unique xDSL
>services/products that BT Wholesale don't offer.
>
>Anything BT Wholesale sell has to be offered "Wholesale" to other
>companies/telco's/ISP's which then means the competition undercut BT Retail.
>
>This way BT Retail is able to sell a product range that its competition
>don't have access too..


However, assuming that BT Retail engages with BT Wholesale in the way its
competitors do, and no cross-subsidy is used, then BT Retail can't offer
any more than its competitors can already do using LLU.

Zane.
 
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Sunil Sood
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      06-09-2004, 06:37 PM

"Mike Cawood, HND BIT" <(E-Mail Removed)> wrote in message
news:ca7a0e$tgl$(E-Mail Removed)...
> So effectively BT is now split into two, Retail and Wholesale, presumably
> this was forced by Ofcom or government, because I cannot see the directors
> of BT agreeing to this.


Erm.. no.

BT is (still!) one company/group but BT Retail and BT Wholesale have had to
act as "separate companies/entity's" - for regulatory reasons and its been
like this for many years.

The idea being that BT Retail won't then gain any benefit/unfair advantage
with its dealings with BT Wholesale, due to being part of the same group..
i.e. BT Retail has to buy services at the same published price from BT
Wholesale, that BT Wholesale sell them to its competitors.

Otherwise, BT Retail would buy everything cheaply and crush the competition,
so the theory goes.

Regards
Sunil


 
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Sunil Sood
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      06-09-2004, 06:41 PM

<(E-Mail Removed)> wrote in message news:1lnjp1-(E-Mail Removed)...
> However, assuming that BT Retail engages with BT Wholesale in the way its
> competitors do, and no cross-subsidy is used, then BT Retail can't offer
> any more than its competitors can already do using LLU.


It would mean that BT Retail would be able to sell xDSL services/products
that most of its competitors can't (since the others don't do LLU)

Regards
Sunil


 
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      06-09-2004, 08:56 PM
In article <(E-Mail Removed)>,
Sunil Sood <(E-Mail Removed)> wrote:
><(E-Mail Removed)> wrote in message news:1lnjp1-(E-Mail Removed)...
>> However, assuming that BT Retail engages with BT Wholesale in the way its
>> competitors do, and no cross-subsidy is used, then BT Retail can't offer
>> any more than its competitors can already do using LLU.

>
>It would mean that BT Retail would be able to sell xDSL services/products
>that most of its competitors can't (since the others don't do LLU)


Fine - but how will it put BT Retail in a better position than
EasyNet, Bulldog/C&W, etc. Pure size? Any operator can do LLU as long as
they can afford it, surely?

Zane.
 
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Sunil Sood
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      06-09-2004, 09:54 PM

<(E-Mail Removed)> wrote in message news:94akp1-(E-Mail Removed)...
> Fine - but how will it put BT Retail in a better position than
> EasyNet, Bulldog/C&W, etc. Pure size?


Size, product differentation and marketing mainly...

>Any operator can do LLU as long as they can afford it, surely?


Yes.

What is unusual is that BT Retail are considering it.. normally, they stick
very closely to reselling products based on BT Wholesale's product portfolio
and let other companies offer products like these..

Regards
Sunil


 
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