KC OFFER WHOLESALE TARIFFS TO OTHER COMMUNICATION PROVIDERS WANTING TO OFFER THERE OWN FULLY MANAGED SERVICES TO END USERS IN THE HULL AREA
KC have now FINALLY published their WHOLESALE lines and calls retail tariff which comes offf the back of them having to permit NEXUS Telecommunications (Cobus Communications) to Wholesale services based on the complaint raised and presented to Ofcom by Nexus Telecommunications to Ofcom in December 2008.
The complaint was based on KCOM ILLEGALLY FORCING all businesses (and domestic households !!!!) in the Hull area to take Inclusive local calls from KC which were automatically included within KC's line rental charges (an illegal practice Known a "TYING") and which took significant business revenues away from Nexus since each Nexus customer was forced to take a local calls service from KC.
KC were not subjected to an Ofcom investigation as the complaint was withdrawn due to provision of the tariff.
This arrangement means that comapnies reselling Nexus services such as Cobus Communications FULLY OWN the customer relationship in terms of customer billing and providing first line customer support.
This "deal" is availiable to any other Communications Provider seeking to offer telephony services in the Hull area but is restrictive to smaller Communication Providers due to the high KC commitment levels since CP's are forced, under the arrangement to route calls via KC.
To view the Retail (WHOLESALE !!!!) tariff please go to
http://www.kcomplc.com/eastyorkshire/pricemanual/business-main.asp then "Wholesale" then "Business Voice Reseller"
However, OFCOM are duty bound to force KC into providing the equivalent of BT Openreach's WLR3 services in the Hulla rea which allows Communication Providers the opportunity to resell KC's line services ONLY and select their own calls provider.
All business and domestic lines in the KC area provided by KC are illegal as they contractually "tie" the end user into contractually taking unlimited calls from KC as part of any line rental agreement of which excludes competition from the calls market and there is no "objective justification" for doing so as local calls can be provided on a "pay as you go" METERED basis by KC.
Additionally, under the UK Competition Act where KC are deemed under Ofcom oversight to have significant market power in both lines and calls markets since both markets must be treated sepeartely and the capability to "cross subsidise" or "force bundle" lines and calls IS NOT PERMITTED. However, it would appear that KC ARE being allowed to - the question is WHY !!!!
PN