LONDON, March 10 Britain's biggest telecoms
group BT has reached an agreement with the regulator to
finally resolve a two-year row over how the national broadband
network is run, agreeing to a legal separation of the business.
BT has come under fire from regulator Ofcom after rivals
including Sky, TalkTalk and Vodafone
accused it of delivering a poor service, under investing in the
network and running it to serve BT's bottom line rather than the
interests of the country.
On Friday BT said it had agreed to legally separate its
broadband unit, Openreach, moving 32,000 staff into the new
company, which will have its own brand without the BT logo.
"BT has agreed to all of the changes needed to address
Ofcom's competition concerns," Ofcom said in a separate
statement. "As a result, Ofcom will no longer need to impose
these changes through regulation. The reforms have been designed
to begin this year."
(Reporting by Kate Holton, editing by James Davey)