Channel waits for new ADSL operators

The European Commission proposal announced last week to bring forward the deadline for local-loop 'unbundling' will have no effect on the availability of ADSL in the UK, according to industry watchdog Oftel.

The European Commission (EC) proposal announced last week to bring forward the deadline for local-loop 'unbundling' will have no effect on the availability of ADSL in the UK, according to industry watchdog Oftel.

The effect on resellers of opening up local exchanges to competition is unclear, channel sources said. BT and several internet service providers reselling BT's services are already selling ADSL, but BT insists its own engineers install the equipment on customers' sites.

New entrants in the market that plan to offer their own ADSL services may recruit resellers to perform on-site installations, but such firms are keeping their cards close to their chests.

Caroline Hewlett, sales and marketing director at IP services distributor ATL, said: "It's so sensitive, people are keeping their plans to themselves."

A source at one BT distributor, who asked to not be named, said new operators are likely to be more channel-friendly than BT, and predicted resellers will abandon BT at the first opportunity.

But Vincent Leahy, dealer sales director at voice distributor Nimans, said BT is becoming more flexible and its national coverage and services assurance will keep resellers loyal to BT.

None of the ADSL operators have revealed their proposed route to market, said Leahy. The EC has issued draft legislation requiring rival telecoms firms to be given access to local telephone exchanges by 31 December, compared with Oftel's deadline of July 2001.

But Oftel said July's deadline refers to retail services availability, and rivals should be able to order equipment for location at BT's exchanges from 1 September.