BTGlobal telecommunications services company BT, is planning to launch a new internet TV service, offering users a more personalized experience and social media elements in an attempt to compete in the pay TV market, according to a report by FT.

The reports states that the new service, which is likely to be introduced in the coming weeks, will bring in enhanced interactivity owing to its extensive library of on-demand content. The BT Vision pay-TV service offers sports and films online enabling the group to earn additional revenue.

As per the report, Ian Livingston, CEO, BT, has said that they were focused on bringing true interactivity to the TV set, which is the most watched screen in the house. He added that it means on-demand services; it means the availability of buying things as you do it; to have personalised services; to know what your friends like and what they think of it.

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­A number of the UK’s internet providers and mobile networks have signed up to a voluntary code-of-practice that will govern how they advertise their internet services to customers.

Together these companies – BSkyB, BT, O2, TalkTalk, Three, Virgin Media and Vodafone – account for 90% of all fixed-line broadband customers and 60% of all mobile customers in the UK.

In the mobile arena, Orange and T-Mobile are not a part of the agreement.

The new code will ensure that consumers have access to more easily comparable information about the traffic management practices of different broadband providers. For the first time, information will be provided in a common format to explain what traffic management techniques are used, when and with what impact for each broadband service currently marketed by the code’s signatories.

Antony Walker, Chief Executive of the Broadband Stakeholder Group, which facilitated this voluntary industry code of practice stated that there has been more heat than light in the debate about traffic management over recent years. This commitment to provide clear and comparable information in a common format is very important. It will not only help to ensure consumers are better informed about the services they buy and use, but will also provide a clearer picture for policy makers of the way in which traffic management is actually used in the UK market.

The code of practice will also take into account any Net Neutrality issues if they crop up in the UK.

Walker added that consumers need to be able to make informed choices about the services they buy while the policy makers need to be able to make informed decisions about the policy and regulatory framework they set. This new commitment provides an essential building block for getting both of these things right.

The code will be piloted in 2011 by the signatories and its implementation will be reviewed in early 2012 to fine tune the approach. Interested parties, such as consumer groups, will be invited to provide feedback as part of the review process. It is also hoped that more ISPs will sign up to the code following its launch.

The network’s first step will be to publish a common Key Facts Indicator (KFI) table, summarizing the traffic management practices they use for each broadband product they currently market. This will be available on ISPs’ websites by the end of June 2011.

BT has suffered a setback as the telecoms regulator Ofcom proposed cuts in the price of its wholesale products. Ofcom wants BT to reduce the price of its wholesale broadband products in order to improve internet access in rural areas.

The regulator also drew a lower-than-expected estimate of BT’s cost of capital the assumption of what it costs BT to fund its business. According to analysts, it could cut BT’s earnings by up to 8%.

Ofcom is aiming to ensure that broadband prices fall for consumers in rural areas and, potentially, to increase download speeds available to them. To achieve this, it is proposing that BT should cut the price of wholesale broadband products in parts of Scotland, Wales and Northern Ireland, together with certain English rural areas.

These areas where BT is the sole provider of wholesale broadband services: mainly places not covered by infrastructure owned by Virgin Media, TalkTalk or British Sky Broadcasting. In those areas, Ofcom is proposing annual cuts in the price of BT’s wholesale broadband products of between 11% and 15% over the next three years, after inflation.

Ofcom’s calculations of its price controls for BT are partly based on its estimate of the company’s cost of capital.

It proposed a lower cost of capital for BT Openreach, the subsidiary that provides the company’s rivals with access to its fixed-line connections running to homes and offices.

According to BT, Ofcom’s proposed cost of capital for BT Openreach could reduce annual wholesale revenue by low tens of millions of pounds. It added that the regulator’s price controls for its wholesale broadband products should strike the right balance between control and incentives to invest in rural areas.

UK’s fixed line incumbent, BT has revealed the 41 towns that will benefit from the next phase of its high speed fibre broadband launch.

Almost 300,000 business and consumers in these areas, which include Sandwich in the South East, Ripley in the East Midlands and Dalkeith in Scotland, will be able to access broadband at download speeds of up to 40Mbps over the fibre-to-the-cabinet (FTTC) network from spring 2012.

The 41 market towns join the 785 exchange locations across the country that BT has revealed under its fibre rollout plan to date. These locations serve around eight million premises in total, around half of BT’s total fibre deployment plan.

The company is investing up to US$3.9 billion to deliver fibre broadband to approximately two thirds of UK homes and businesses, subject to an acceptable environment for investment. Openreach, BT’s local network business, is responsible for the deployment of fibre to these areas. The technology will be available on an open, wholesale basis to all companies providing broadband services.

BT is all set to sell a new service that giving broadband providers the tools to create a two-tier internet, where some video content would reach consumers in a better condition than other material.

The service planed by BT’s wholesale unit gives broadband providers the opportunity to charge content owners for high quality distribution of their video products to consumers.

BT is seeking to capitalize on the fast-growing volume of video being downloaded over fixed-line and mobile infrastructure, led by services such as Google’s YouTube and the BBC’s iPlayer.

A new network built by BT should ensure that bandwidth-hungry video can be streamed to consumers without interruption, even at peak web usage times.

BT is starting to give its retail unit, and other telecoms companies, the chance to use the network by selling a wholesale service called Content Connect. BT Retail is using Content Connect to supply the company’s television customers with the BBC iPlayer.

According to sources, by relying on BT’s network, broadband providers should be able to reduce their costs partly by cutting spending on backhaul connections between telephone exchanges and their core infrastructure.

BT’s network operates by placing servers relatively close to homes and offices, so that data traffic travels short distances. It means video has a much better chance of reaching consumers without interruption.

According to Jim Killock, executive director of the Open Rights Group, BT’s plans have the potential to end up with a two-tier internet, with customers increasingly tied to bundled services from broadband providers, and a reduction in competition across the open internet.

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U.K. communications regulator Ofcom has issued a ‘Statement of Objections’ to BT Group PLC setting out its view that BT has infringed competition law over the pricing of its Wholesale Calls product from July 2008 to April 2009, a claim the telecom giant strongly disproves.

According to Ofcom, BT engaged in a margin squeeze by setting the prices charged to other providers for its wholesale calls products at a level that wouldn’t have allowed equally efficient operators to cover their costs.

According to BT, it refutes, in the strongest terms, any allegation that we applied incorrect pricing to their wholesale calls product between July 2008 and April 2009.

Ofcom stated that BT will now have an opportunity to respond to Ofcom’s proposed findings before Ofcom decides whether competition law has been infringed.

BT added that they will, of course, participate fully in the Ofcom investigation over the coming months and defend their pricing vigorously.

The regulator stated other communications providers use BT’s Wholesale Calls product to offer calls at a retail level.

This is the latest step in Ofcom’s investigation following complaints from THUS PLC–now part of Cable and Wireless Worldwide PLC and Gamma Telecom–which submitted a complaint in June 2008 under the Competition Act 1998 regarding BT’s behavior in the wholesale calls market.

The wholesale calls market involves large communications providers providing wholesale fixed line telecoms services to other, smaller communications providers. They then provide telecoms services to residential and business customers.

TalkTalk is reportedly planning to offer its existing customers the option of boosting their downlink speeds to up to 40Mbps via BT’s fibre-to-the-cabinet (FTTC) network from January 2011.

TalkTalk has quietly unveiled a new add-on booster pack known as Fibre Optic Broadband that for a monthly charge will allow its customers access to the higher speed connections.

The company also states that it will guarantee a minimum download speed of 15Mbps, but it has yet to confirm full pricing details, either for monthly charges or setup, while uplink speeds have also not been revealed.

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BT?warned over broadband funds

Jeremy Hunt, the Culture Secretary has warned BT and stated that the telecoms company will not get a blank cheque from the government to extend its high-speed broadband network.

According to the analysts, BT was in pole position to secure the largest portion of the US$1.30 billion of public funds the government is making available to ensure rural areas do not miss high-speed internet access.

Virgin Media has expressed its interest in tapping some of the US$1.30 billion that will come from the BBC license fee over the next seven years. Some smaller companies that build superfast broadband networks, such as Vtesse Networks and Geo, are also potentially interested in using some of the US$1.30 billion.

According to BT’s last month statement, it might be able to extend its high-speed broadband network to 90% of UK homes if the company could use the US$1.30 billion. BT is spending US$3.90 billion on its network to reach two-thirds of homes by 2015. According to Virgin, it was important the US$1.30 billion was not simply used to extend BT’s network.

However as per Ian Watt, analyst at Enders Analysis, he expected BT to be the company that secures the largest portion of the US$1.30 billion, partly because it was best placed to provide significant additional funds of it’s own to expand superfast broadband to rural areas.

TalkTalk and British Sky Broadcasting, the other big operators in the broadband market, are unlikely to bid for any of the US$1.30 billion.

Mr Hunt on Monday had unveiled proposals for every community in the UK to be within reach of superfast broadband infrastructure based on optical fibre by 2015. The fibre networks BT and Virgin are building are largely focused on towns and cities. Mr Hunt outlined plans for a fibre hub in every community, partly financed through the US$1.30 billion. The government hopes local consortiums potentially made up of councils and telecoms companies could bid for some of the US$1.30 billion to build the fibre hubs.

According to Mr Hunt, they are talking to local authorities, people like BT, Virgin, TalkTalk, Sky. . . to see who comes up with solutions. They will back the best ones.

Ofcom reviews WLR, LLU charge controls

UK telecoms regulator Ofcom is reportedly undertaking a review of charges for local loop unbundled (LLU) and wholesale line rental (WLR) services.

With existing price controls for both services due to expire on 31 March 2011 it is understood that the watchdog will not complete its examination of the charges until after that date; it noted that the delay stemmed primarily from an appeal against the current controls which was not finally resolved until last month.

Openreach, the arm of fixed line incumbent BT tasked with overseeing the operator’s infrastructure, has reportedly written to Ofcom with a voluntary commitment to fall in line with pricing limits for both LLU and WLR services calculated using financial modeling previously set out by the regulator.

According to the company, it would comply with such charges from 1 April 2011 until the start of new controls or until 31 March 2012 if new controls are not in place by that date.

In response, Ofcom has told Openreach it does not intend to impose charge controls for the interim period between 1 April 2011 and the time at which it concludes its review of WLR and LLU charges.

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AT&T and BT announced today the commercial availability of the industry’s first inter-provider exchange-to-exchange telepresence meeting capability. The new connection between AT&T and BT telepresence exchanges allows their business customers to schedule telepresence meetings and to connect their telepresence endpoints seamlessly.

With the new inter-provider telepresence capability, AT&T and BT customers can now meet “face to face” from their Cisco TelePresence endpoints with an expanded network of customers and suppliers. Last summer, customers piloted this capability and successfully conducted numerous meetings between AT&T and BT telepresence locations.

AT&T and BT telepresence customers will enjoy a consistent service experience when using this new feature of their existing telepresence service. For example, AT&T customers may schedule business-to-business meetings involving a BT endpoint using the AT&T Telepresence Solution® scheduling portal in the same way they schedule business-to-business meetings today, and BT’s telepresence customers will be able to do the same on BT’s scheduling portal. Customers will continue to rely on their respective service providers as a single point of contact for meeting support, assistance, and billing.

Additionally, key features such as encrypted connections will be available and can be established for highly sensitive meetings to ensure both AT&T and BT customers enjoy the same high level of security as today’s business-to-business telepresence meetings. In the future, AT&T and BT customers will also have access to a directory that will help them determine what other registered organizations and locations are accessible through the inter-provider connection.

Brian Washburn, research analyst at Current Analysis, said: “AT&T and BT’s exchange-to-exchange connection marks a significant milestone in the industry. Exchange-to-exchange telepresence is a major stride forward in building smooth, end-to-end telepresence experiences for customers across network boundaries worldwide, and advancing Cisco’s efforts to support inter-provider connectivity for telepresence.”

Kevin Peters, chief marketing officer, AT&T Business Solutions, said: “Businesses are recognizing the value of telepresence as an effective global collaboration tool, and we’re seeing increasing adoption of our AT&T Telepresence Solution quarter after quarter by both small and large businesses across industries. The inter-provider connectivity established with BT is an important step forward for the industry and underscores our commitment to expanding the network of accessible telepresence locations for our customers and increasing the value of their investments.”

Chris Clark, managing director, BT Enterprise, said: “This is good news for BT and AT&T customers.  Companies are looking for ways to make employees more productive, reduce carbon emissions, lower travel-related costs and create a competitive advantage. Being able to connect across telepresence networks greatly expands the reach and value of the service and maximizes the business benefits. With this industry-first, BT and AT&T are changing the way businesses collaborate. It is a testament to our commitment to unified communications and telepresence.”

Today’s announcement marks the latest of many joint BT and AT&T projects that are delivering benefits to customers across more than 100 countries today. Collaboration between the companies continues to offer tremendous potential for customers and both companies alike.

About AT&T

AT&T Inc. is a premier communications holding company. Its subsidiaries and affiliates AT&T operating companies are the providers of AT&T services in the United States and around the world. With a powerful array of network resources that includes the nation’s fastest mobile broadband network, AT&T is a leading provider of wireless, Wi-Fi, high speed Internet and voice services. A leader in mobile broadband, AT&T also offers the best wireless coverage worldwide, offering the most wireless phones that work in the most countries. It also offers advanced TV services under the AT&T U-verse® and AT&T | DIRECTV brands. The company’s suite of IP-based business communications services is one of the most advanced in the world. In domestic markets, AT&T Advertising Solutions and AT&T Interactive are known for their leadership in local search and advertising. In 2010, AT&T again ranked among the 50 Most Admired Companies by FORTUNE® magazine.

Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at the AT&T Web Site. This AT&T news release and other announcements are available at AT&T Newsroom, and as part of an RSS feed at AT&T RSS Feed. Or follow our news on Twitter @ATT. Find us on Facebook at the AT&T Facebook to discover more about our consumer and wireless services or at AT&T Small Business Facebook to discover more about our small business services.

About BT

BT is one of the world’s leading providers of communications solutions and services operating in more than 170 countries. Its principal activities include the provision of networked IT services globally; local, national and international telecommunications services to our customers for use at home, at work and on the move; broadband and internet products and services and converged fixed/mobile products and services. BT consists principally of four lines of business: BT Global Services, Openreach, BT Retail and BT Wholesale. In the year ended 31 March 2010, BT Group’s revenue was pounds Sterling 20,911 million.

British Telecommunications plc (BT) is a wholly-owned subsidiary of BT Group plc and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on stock exchanges in London and New York. For more information, visit www.bt.com/aboutbt