Update 27 July 2007: In accordance with the OPTA instruction of 13 July 2007, KPN has today published a notice (available in Dutch language only) addressed to other operators in the context of "All-IP".
This notice sets out key principles on the phasing out of MDF access, including:
- a number of locations where MDF access will -after all- remain available to enable alternative operators to maintain 50% coverage through MDF access beyond 2010.
- various financial contributions to costs that will be incurred by alternative operators.
The notice also contains a commitment by KPN to provide wholesale broadband access (consumer and business class), and "Adjusted WBA" wholesale tariffs "to enable alternative operators to continue their current business model", and various other commitments.
For further details, please contact Yves Blondeel or Alexa Veller.
The Dutch incumbent operator KPN and the Dutch regulatory authority OPTA have today issued updates on the Next Generation Access negotiations conducted between KPN and alternative operators.
KPN announed that it has signed MOUs (memorandum of understanding) with Tele2-Versatel, Orange and BBNed in the context of KPN’s “All-IP” Plan (which encompasses Next Generation Access and Next
Generation Core components) on which we reported in detail in an earlier T-REGS news item.
Generation Core components) on which we reported in detail in an earlier T-REGS news item.
Apart from dealing with the future of Main Distribution Frame (MDF) access, i.e. the phasing out of local loop unbundling for alternative operators, the MOUs contain principles for alternative access methods such as sub-loop unbundling and wholesale broadband access. The principles contained in the MOUs will be further elaborated upon in the coming months.
OPTA, in a letter published on its website today, describes the MOUs as: "[…] [an] agreement with each of the parties mentioned on the principles governing the conditions under which these parties are prepared to cooperate – in due time – in the phasing out of the MDF locations of KPN". T-REGS Note: This indicates that the phasing out of the KPN MDF locations will be subject to an agreed time schedule and that it is not imminent on a large scale.
OPTA also reveals that the MOUs are not final agreements and that the parties will discuss matters further, including in order to reach a final MDF migration agreement.
From a telecommunications regulatory perspective, the following points are of importance:
- The MOUs are not exclusive to the parties that have currently signed. OPTA has instructed KPN to inform its other MDF access customers of its offer at the latest by 27 July 2007, as a basis for discussion, to reach non-discriminatory solutions.
- OPTA will investigate to what extent these MOUs and subsequent offers/agreements influence the findings in the forthcoming 2nd round analyses of Markets 11 (local loop unbundling) and 12 (wholesale broadband access), and "if there is cause to leave out or ease obligations on KPN".
- OPTA will monitor the developments, including as regards the reaching of a comprehensive MDF migration agreement.
- OPTA has not yet communicated its assessment of the content of the MOUs, due to confidentiality reasons.
In line with what has been announced previously, OPTA will now include the fact that agreement in principle has been reached in formulating its forthcoming 2nd round analyses of Markets 11 and 12, and it expects to come forward with draft market analysis decisions (market definition, SMP assessment, and proposed remedies) before the end of 2007.