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CNMC proposes sweeping changes to wholesale fibre market

2014-12-19 14:20:00| Telecompaper Headlines

(Telecompaper) Spain's communications regulator CNMC has proposed a series of new requirements on Telefonica with a view to ensuring competition in the fibre optic broadband market and promoting investment in next generation access (NGA) networks. Under the new rules, Telefonica would have to open up its fibre optic network in all of Spain apart from nine cities in which there are greater levels of competition in NGA deployment. The cities are Madrid, Barcelona, Alcala de Henares, Badalona, Coslada, Malaga, Mostoles, Seville and Valencia, representing around 16 percent of the Spanish market. The CNMC said there were at least three simultaneous rollouts of NGA networks in these localities (at least two fibre and one cable network) due to the nature of their population and strategic location. In the rest of Spain, the CNMC has also proposed that Telefonica provide wholesale access to its fibre network using a process known as 'virtual unbundled local access' (VULA). In addition, the regulator has proposed that Telefonica provide a wholesale offer for the business sector throughout Spain encompassing both copper lines (ADSL) and new fibre optic deployments, with prices regulated by the CNMC. The decision would have significant repercussions in a sector where Telefonica currently boasts a market share of nearly 70 percent, allowing other operators to launch superfast broadband offers.

Tags: market wholesale proposes fibre

Category:Telecommunications

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