Ofcom: Equal Participation by Telecom Operators in Rural Broadband Needed

On Tuesday, Ofcom's chief executive Ed Richards, said that rural networks in UK should not be dominated by any single operator and the reason is that it damages competition as well as innovation.

Richards commented that "wavelength unbundling" technology might have a permanent solution to "effective fibre network competition", reported ZD Net.

In his speech during Total Telecom World conference, Richards stated, "We believe that open access must be provided as part of any publicly financed initiative, together with interoperable standard systems which maximise the potential for effective downstream competition".

According to him, one operator capturing the rural broadband business will lead to "a particularly egregious outcome if delivered by virtue of taxpayers' money rather than private risk capital".

ZD Net reported that government is on its way to distribute £530 million to various operators so that they build "super-fact broadband networks in rural areas". The network operators view the rural areas as a poor investment because these areas are of low population density.

Currently, it is telecom giant BT which is mainly setting out fibre in majority areas in UK and their prime focus is on the areas with high density of population.