©Ofcom

Clive Gordon Legal Director, Ofcom

©Ofcom 2

Everything flows from Europe

©Ofcom 3

The Legal Tools Available to Ofcom

• EU Competition Law – Competition Act 1998

• National Competition Law – Enterprise Act 2002

• Ex-ante Sector Rules – Communications Act 2003

©Ofcom 4

Functional Separation under the Enterprise Act

Rest of BT

FUNCTIONAL SEPARATION

Openreach ‘owns’ local access assets

Enduring monopoly local access (copper and fibre) Operationally separate e.g. Different brand Bonus not based on BT Group Separate IT systems and

accounts Restrictions on information

sharing … but legally owned by BT

Telecos

Telecos

Telecos

EQUIVALENCE

Openreach provides exactly the same wholesale products (e.g. Local Loop Unbundling (LLU) to all operators on the same basis

BT Group plc