KC Being allowed to bundle line, calls and broadband services

[Project Novo]

Please see the following links that appeared in the Mail recently.
 
http://www.thisishullandeastriding.co.uk/news/KC-gets-approval-offer-combined-broadband-landline-deals/article-2495038-detail/article.html

http://www.thisishullandeastriding.co.uk/news/KC-push-Ofcom-allow-phone-web-packages/article-2498071-detail/article.html
  
Ofcom have recently relaxed the reigns on BT Retail in the rest of the UK in permitting BT to offer more aggressively priced service through bundling lines, calls and broadband services to residential customers. The customer has the freedom to select a bundled option (the more you buy the less you pay) and is not "forced bundled" (tied) by KC that forces customers to pay for local calls from KC at an additional £3.50 per line per month whether they make a call or not of which also has the effect of removing all competition in the market for local calls.    
 
If Ofcom were to allow KC to offer similar "bundled" packages, whilst initially being good for the consumer, would have a considerable long term negative effect on consumer choice since by reducing charges without the precesence of any existing competition in an existing Monopoly where Significant Market Power (SMP) already exists would further minimise any possibility of any other Commuicarions Provider seeking to enter the Hull market in direct competition to KC and harm whatever limited competition already exists.
 
If Ofcom are considering permitting KC to bundle services,Ofcom MUST conduct a new investigation into the individual markets for telephone calls, lines and broadband markets in the Hull area. If KC still are still considered to have SMP (Significant Market Power) in any of these markets bundling cannot be permitted.
 
Fibrestream / Nextgenus should write to Ofcom to raise this issue formally with the regulator and make their position abundantly clear that the removal on the existing conditions on KC should not be permitted on the grounds that KC continue to possess SMP in all 3 markets and No Communication Provider has access to the KC telephone line at the wholesale level.
 
Fibrestream/ Nextgenus should only ever agree to the removal of the existing conditions placed on KC unless the equivalent of Openreaches WLR3 services were made available from KC in the Hull area whereby CP's were able to compete directly with KC for the provision of fixed telephony service having obtained "Equivalence" with all providers that wish to compete in the Hull market with KC.
 
If Ofcom were to orchestrate this, this would fully benefit consumers in terms of not just providing consumers with competitively priced services but would also provide consumers with a number of alternative choice's with a selection of providers whereby endusers can choose their supplier based on price and service.  
 
Ofcom should now write to all CP's to solicit their views about the Hull Market.

[stormy]

http://karooforums.net/index.php/topic,1106.0.html

As I wrote there:

I guess at the end of the day, fixed line competition in Hull is very unlikely to happen, something Ofcom recognises in the consultation. So the bottom line is, what will we save?

I can understand why its a bad thing for competition, but how likely is fixed line competition ever to come to Hull, never is my estimation and it seems Ofcom agrees.

[Project Novo]

Hi Stormy

CP's line Nextgenus DO want to come into Hull (amonst many others). Its just that Ofcom and KC do not make it easy as it will be the end of KC if this happens.

Cobus Communications resell telephone lines from Nexus Telecommunications whereby KC were forced to "Wholesale" YES "Wholesale"  lines to Nexus because KC illegally forced Nexus out of the market for local telephone calls when KC forced every business (excluding orgnisations such as the Council !!!!!) to take local calls from them at a supplmentary charge of £3.50 per month PER LINE.

Under KC's Ofcom oversight this is anti competitative. Nexus were going to force Ofcom into an investigation (Which would have found KC guilty of market abuse) but decided to take wholesale line rental from KC. This is not widely publised and is something that KC do not wish to have openly broadcast.

PN

           

[Adrian]

Yey

[stormy]

No Offence Novo, but WHO are these companies? They are all very small, focused local companies, none of them are the big players in the UK industry. I know NextGen are doing wireless broadband, but as has been proven they can't even cope with the current demand from word of mouth on these forums for their service.

None of the national players are really interested in Hull, its been years since KC was floated and there has not been one sniff from any of them, we get Talk Talk moaning now about the fact they can offer bundles, well boo hoo, why didn't a big player like that lobby Ofcom years ago about getting proper access if they wanted. I am sure Ofcom would have listened to Talk Talk, Sky etc etc but they are not that interested in spending money to come to a small market here.

So bring on the bundles I say.

[David Carr]

I don't think this is a bad thing at all, if it saves money then why not as consumers ultimately where all trying to save money where we can.

[GarethG]

It definitly is a step in the right direction, the most anoying thing for me is seeing other companies and how low their prices are and how much you get for your money

[Adrian]

The bundles will save most people money, and if they don't one way or another they will be getting value for the money they are paying, whether thats the inclusive local, national and mobile calls, or the extra allowance they will gain on their download allowance.

Personally I will be saving about £2.50 per month, but will be gaining free caller ID, free national calls, and some mobile minutes, aswell as an extra 50GB allowance. This is if you currently pay for KC Local (Talk 1), CID and Karoo Pro Broadband.

[stormy]

The bundles will save most people money, and if they don't one way or another they will be getting value for the money they are paying, whether thats the inclusive local, national and mobile calls, or the extra allowance they will gain on their download allowance.

Personally I will be saving about £2.50 per month, but will be gaining free caller ID, free national calls, and some mobile minutes, aswell as an extra 50GB allowance. This is if you currently pay for KC Local (Talk 1), CID and Karoo Pro Broadband.

Are the prices announced now?

[Adrian]

They will be public next week I think - the top package will be slightly dearer than the Driffield top package bundle, but will come with 150GB usage.

[bobthebuilder]

you could sneeze 150gig lol

[stormy]

They will be public next week I think - the top package will be slightly dearer than the Driffield top package bundle, but will come with 150GB usage.

Guess I wont be bothering then, oh well. Pointless as I expected. Don't want Caller ID, don't want Mobile or National minutes (have a mobile for that), don't need 150Gb.

So it will either be aimed at heavy users, or people who don't need much internet use at all. The majority (as usual with Kcon) need not apply.

[stormy]

They will be public next week I think - the top package will be slightly dearer than the Driffield top package bundle, but will come with 150GB usage.

Are they having a rethink? 

[Adrian]

The bundles are ready but they are waiting for internal systems to be ready before they can launch them

[Eugene1]

Have you seen the ufacetubebook.com videos for the new bundled packages,  I like Katie's better.