News Burst: ADSL will not be cost-effective, says analyst

ADSL technology will be financially beyond the reach of operators other than BT, according to analysts

As controversy mounts over unbundling the local loop and the rollout of ADSL, one analyst group claims the technology will be too costly for operators other than BT.

The research will come as a blow to those who have seen unbundling of the local loop as a way to end BT's stranglehold on the UK telecoms market. Traditionally unbundling of the local loop, which will see BT's local telephone exchanges opened up to alternative operators, has been seen as the key factor in creating a competitive broadband market. Ovum analyst Yum Petkovic disputes this, claiming ADSL will only be viable for BT.

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