ADSL


The development of broadband services, through its contribution to Information Society, is a communitarian and national priority, which is reflected in ANACOM's action and activity plans.

The consumers can access the broadband services, resorting to cable television distribution network operators or to telecommunication operators, sustaining themselves on the access wholesale offers of PT Comunicações ('PT ADSL Network' and 'ROULL').

In Portugal, the estimated home access penetration, of broadband, at end of 2003, was superior to 10%. Grupo PT retains, still, a share of around 75%.

In order to promote the competition, ANACOM intervenes, often, in "PT ADSL Network" wholesale offer in all its perspectives:

The first interventions were made in May and June 2002. Then, ANACOM has not allowed the companies of Grupo PT the launching of offers next to consumers before granting guaranties to other operators on similar offers.

In June 2003, ANACOM determined that 'Pt ADSL Network' offer should be altered, in order to eliminate the discounts benefiting almost exclusively the companies of Grupo PT. In this occasion, ANACOM imposed a price reduction of 20% on Portugal Telecom wholesale offers and still introduced a 'retail minus' rule, stopping the crushing of profit margins at a later stage.

In November 2003, ANACOM has intervened again on a new PT wholesale offer, in order to clarify its conditions and to assure adequate profit margin to the remaining operators.

Currently, the wholesale prices compare favourably with similar offers in the European Union. ANACOM recognizes that this is a business depending strongly on scale effect and carries, at the beginning, reduced or negative profitability.  It is not rational from ANACOM, increasing the retail price to almost 200 thousand users in order to improve the operators' profitability.

ANACOM took notice that two, out of eleven ADSL providers, have given up to accept new clients for ADSL service. ANACOM warns that the operators must honour the commitments assumed with the present clients.

ANACOM will continue, within its capacities, to promote the development of broadband in sound competition and with maximum benefit for the users.

Following the regulator's close monitoring of the broadband market evolution, namely ADSL, ANACOM has already determined the establishment of new conditions for the wholesale offers of PT Comunicações, matching the figures practised in Portugal, to the lowest ones practised Europe.