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U.K. telco regulator seeks views on minimum broadband speed, funding.

Ofcom on Thursday launched a consultation on the Universal Service Obligation (USO), which will give consumers the right to request a minimum of 10 Mbps broadband.

"We are seeking views from consumers and industry to inform our analysis of the options for designing and implementing the broadband USO. Responses to this call for inputs will inform recommendations we put to government," the U.K. regulator said, in its consultation document.

The consultation addresses numerous factors, such as what constitutes an acceptable level of broadband service, how much it should cost, and whether it should be subsidised for low-income households.

Ofcom also wants to find out the likely level of demand for USO broadband, how much the scheme is likely to cost in terms of funding new networks and operating services, and whether to create a single Universal Service Provider (USP) or create several, potentially divided along geographical lines.

In addition, the consultation is also keen to establish the extent to which the USO could distort broadband competition. Ofcom said it is keen to ensure that the USO builds on existing commercial and community networks, rather than displaces them.

The government floated the idea of a new broadband USO in November 2015.

It proposed giving every consumer the right to request a broadband service with a speed of at least 10 Mbps, putting broadband access on a similar footing to utilities such as electricity and water.

Under the plan, the minimum speed will increase over time to keep up with growing demand and advances in technology.

Ofcom’s consultation will be open for comment until 23 June. The regulator is due to make its recommendations on the USO by the end of 2016.
 

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