Oftel's David Edmonds, Director General of Telecommunications
said yesterday:
"AltaVista chose to launch their product in
March, in advance of wholesale products being available. It is up
to AltaVista, as other commercial companies, to make sure that
before they launch a product they have a sound business plan to
support it.
"Oftel wants to see competition in unmetered
internet access develop. On 26th May I issued a Direction requiring
BT to provide an unmetered wholesale product to other operators.
This allows other operators and ISPs to have access to BT's local
network on a wholesale basis to offer unmetered internet
access.
"BT offered this product, known as FRIACO -
Flat Rate Internet Access Call Origination - from 1st June. Further
industry discussion has resulted in a further refinement of the
product known as FRIACO Hybrid. BT has offered FRIACO Hybrid since
3rd August.
"I am confident that this provides a sound
basis to promote competition in unmetered internet access and
expect to see more companies providing unmetered internet access
packages in the coming months."
BT’s director of regulatory affairs said: “AltaVista is standing
reality on its head as it tries to wriggle away from the
consequences of its ill-considered marketing hype.”
BT has entered into its first deal to offer unmetered wholesale
internet access with telecommunications company MCI/Worldcom UK.
Charlotte Steele of MCI/Worldcom today confirmed to OUT-LAW.COM
that the company yesterday signed the deal with BT, but said that
further details would not be released at this time. It is
understood that the agreement will include BT’s first unmetered
charges to a telecommunications operator to carry internet calls
from local exchanges to regional exchanges.
ISPs have complained that BT was providing consumers with
unmetered access but delaying the roll-out of a wholesale product
for other ISPs. Although some ISPs are offering unmetered access to
consumers subject to monthly subscription payments or other
conditions, the ISPs themselves were being charged by BT for use of
the lines at a metered rate, giving them the burden of the
financial risk since they could not know how long their customers
would spend on-line.
