Trust is Even Lower in BT Wholesale than Openreach say Ofcom

The UK regulator Ofcom has published its third report on BT’s progress in implementing the Undertakings accepted by Ofcom under the Enterprise Act 2002, in particular the regulator is looking at the performance of BT to provide third party comms companies a level playing field through BT’s new Openreach company.

At the same time Ofcom has reported that levels of trust in BT are low – BT has given undertakings to Ofcom rather than the regulator having to recourse to the Enterprise Act.

Ofcom reports that not much has changed so far, but it is still early days. However the regulator notes the following:

– Openreach’s management is enthusiastic, credible and approachable – however, Communications Providers’ (CPs) views on whether it will be able to deliver on its promises were cautious and there was a concern that the organisation might fail them.

– Within Openreach, there have been several teething problems related to the complexity of the restructuring involved in setting up the organisation, particularly account management, service delivery and EMP progress.

– Whilst most of Openreach’s customers appreciate that the pace of change has been such that there were bound to be teething problems, many stressed that the honeymoon period is now ending and that they required significant improvements within the next six to twelve months. Priorities include scaling up staffing and ensuring basic service delivery.

– The level of trust in BT Wholesale is lower than that for Openreach, and there is a particular concern over the 21CN consultation process.

– The majority of respondents outside BT felt that Ofcom should remain closely involved in the implementation of the Undertakings and the 21CN debate.

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