Out-Law / Your Daily Need-To-Know

Freeserve has claimed that BT is in “possible breach of the prohibition of abuse of dominant market position.” Freeserve’s concerns have led the company to lodge a complaint with Oftel, the UK telecoms regulator. As a result, Oftel is to investigate whether BT is subsidising installation costs for it’s Business 500 Plus ADSL.

Freeserve claims that BT has indeed cut the price of installing ADSL, it’s business broadband service, and is guilty of absorbing the price cuts since the wholesale cost of the service has remained static. Oftel’s investigation will determine whether the price cuts constitute anti-competitive conduct.

Freeserve indicated a desire to “compete (with BT) on a level playing field with broadband.”
The investigation follows a similar, recent complaint by Bulldog Communications.

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