Page 126 - SAMENA Trends - June-July 2025
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REGULATORY & POLICY UPDATES  SAMENA TRENDS

        Ofcom: Use Comms Regulation to Drive Innovation


        The UK should have the best mobile and broadband connectivity
        in  the world, and Ofcom  will  be  playing  its  part  to help  unlock
        opportunities, encourage investment and open doors for innovation,
        according  to the  regulator’s  group director for communications,
        Natalie Black. Speaking at the Parliament & Internet Conference,
        organised by Ispa UK – the trade association for the organisations
        building and delivering the UK’s internet and telecoms services –
        and attended by MPs, broadband providers and other technology
        industry trade groups and advocates, Black noted that to assist the
        UK in achieving its ambitions in connectivity and hence deliver a
        platform for prosperity for general society and business, there were
        three key areas for the regulator to prioritise: broadband, mobile,
        and  growth  and  spectrum in  space-based  communications.As   less, with Ofcom data showing that average prices were 5% lower
        regards broadband, Black stressed that while the UK wasn’t one of   in real terms in 2024 than in 2023, and 23% lower than in 2019,
        the first movers in  the widespread roll-out of fibre communications,   despite average data use trebling over this period. She pointed to a
        over the past six years, the country has been catching up fast, now   period of consumer policy interventions by Ofcom in that time and
        having the fastest full-fibre roll-out rate in Europe. She noted that in   the support it gave to the UK’s Competition and Markets Authority
        2019, only 7% of British homes and offices could access ultrafast   (CMA) in getting the merger of Vodafone and Three UK over the
        full-fibre broadband, but fast-forwarding to today, it’s now 75%.  line as examples of how regulation was driving the market. Black
        Ofcom attributed this growth to co-operation and shared ambition   accepted there was more Ofcom needed to do to drive more gains,
        among the UK’s broadband ecosystem. “Together, we have made   and she welcomed the government’s new infrastructure strategy –
        that happen,” she said. “Ofcom opened the door, and the industry   particularly the support for improved mobile connectivity on trains.
        stepped up to the challenge.“We were the first country in Europe   “Ultimately, this  requires  a team effort, and we are absolutely
        to review, in its own right, the market covering the  underground   committed at Ofcom to play our part,” she said. The third priority
        tunnels  and  telegraph  poles  that  carry  the  fibre  cables,”  said   regarding  spectrum  and  space  was  seen  as  “the  final  frontier”
        Black. “That significantly improved access to [broadband market   of growth, and  Black  emphasised  how supporting  innovation
        leader]  Openreach’s  ducts  and  poles  for rivals,  laying  their  own   was  central  to spectrum management.  “We  consciously  look  to
        lines, hanging capital costs for some new entrants. And then, after   allocate spectrum to new use cases, even when the commercial
        years  of  traditional  cost-based  regulation  and  falling  prices,  we   case is not yet there,” she said. “In recent years, Ofcom has run
        transformed our approach to incentivising investment. “We gave   several [projects] to support mobile broadcast, and has supported
        Openreach a margin that gave its competitors margin,” she added.   industries  such as  maritime, aviation  and  emergency services
        “And then they didn’t need much help finding their way through the   ahead of Europe. “The new private mobile network supports the
        open door. Competing networks started building like fury to try to   digital transformation of sectors such as logistics and transport,”
        gain a coveted first-mover advantage, and that in turn spurred the   said Black. “We’re opening up new opportunities of high-capacity
        newly independent Openreach into action – and the rest, as they   solutions for private networks by making available high-frequency
        say, is history. Now that competition is driving innovation.” Among   [services].  We’ll  continue  to  support  the  mobile  industry  in  the
        the  innovations noted  by Black included  new techniques  for   deployment  of advanced  5G  and  6G.  Just  over  the  past  few
        sliced fibre, new data linking standards and monitoring systems   months, we’ve consulted on auctioning more spectrum for 4G and
        that potentially mean faults can be fixed before customers even   5G mobile use, and announced we’re releasing more technology
        see  them.  Moreover,  she  suggested  that  faster,  more  reliable   and improved for satellite licenses.” She pointed out that the space
        connections could unlock benefits for consumers and businesses   industry  has  never  seen  growth  like  it  is  at  present,  with  record
        that they haven’t considered before. Full-fibre was key to gaining   numbers of satellites in low orbit above the UK changing how we
        digital benefits. Black highlighted that the average UK household   can connect. Black  stated  this  was one of its  busiest  areas  of
        uses more than 500GB of broadband data every month, but among   work, offering huge potential for innovation and growth across the
        households with full-fibre, that average usage figure goes up 50% to   economy. She added that over the course of the next few years,
        more than 750Gb. Black predicted that if all the planned broadband   Ofcom  would be  “rapidly” expanding  its  spectrum allocations
        network deployments were realised, nearly 96% of UK properties   to space  and  satellite  technology to increase  the  capacity for
        could  have  full-fibre  by  2027,  but  she  stressed  that  Ofcom   broadband services to both homes and businesses, particularly in
        recognised  long-term  investments  such  as  those  made  by  the   remote areas, and that it would be developing spectrum licenses
        suppliers needed regulatory certainty and security. “We’ll continue   to support  UK space launch capability. “The  last  30  years  have
        to balance the scales by protecting customers during this period of   seen connectivity change like never before, a lifetime’s progress
        transition and transformation,” she said. “This is not growth at all   in  a  generation  that  has  come  with  its  opportunities  and  its
        costs. Yes, people want faster networks, but they also want secure,   challenges,” said Black. “But there’s one thing that Ofcom  takes
        affordable networks … This is a hard line in the sand for us, and we   away from our small – but, we hope, significant – role in this story:
        won’t accept growth leading to consumer harm.” As regards mobile,   this is a team sport. Ultimately, it only works if industry, regulators
        Black said it was now a market where users were getting more for   and government come together.”
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