Frequently Asked Questions
1. What is Local Loop Unbundling (LLU)?
2. How is the Local Loop defined?
3. What forms of Local Loop Unbundling exist?
4. Which is the legal framework concerning LLU?
5. What are the benefits of LLU to the consumer?
6. What are the services that can be offered through LLU?
7. What are broadband services?
8. What are xDSL technologies?
1. What is Local Loop Unbundling (LLU)?
Local Loop Unbundling is the possibility that telecommunications organisations have, as lawful beneficiaries, to use the local loop of the Notified Operator (NO)[1] for the provision of telecommunications services to the customer.
2. How is the Local Loop defined?
It is the physical circuit, made of a twisted pair of metallic cables, that connects the network terminating point at the facilities of the subscriber with the main distribution frame or with a corresponding installation in the fixed public telephone network of the NO.
3. What forms of Local Loop Unbundling exist?
The available forms of Local Loop Unbundling are:
In the case of Full Unbundling, the metallic cable pairs are leased to a third parties for exclusive use. The lessee (new entrant telecommunications provider) has full control of the local loop and of its relations with its customer concerning the provision of telecommunications services through the unbundled local loop.
The local loop is used by both the NO and by the new entrant telecommunications provider. More in particular, using xDSL technologies and exploiting the frequency spectrum allowed by the metallic cables, it is possible to provide several services through one cable. The NO continues to provide the telephony service, while the new entrant provides high-speed data transmission services on the same local loop.
Using new technologies such as xDSL, the NO can install high-speed data transmission circuits between the facilities of the subscriber and the main distribution frame or corresponding installations in the fixed public telephony network, which the NO then makes available to third parties (new entrant telecommunications providers) for the provision of broadband services to customers.
4. Which is the legal framework concerning LLU?
At the level of the European Union, Local Loop Unbundling is regulated by Regulation No 2887/2000 of the European Parliament and of the European Council , which as of 2 January 2000 is directly applicable to Member States.
Besides, by Recommendation 2000/417/EC of 25 May 2000 on unbundled access to the local loop: enabling the competitive provision of a full range of electronic communications services including broadband multimedia and high-speed Internet and its Notification of 26 April 2000 , the European Commission has already laid down detailed guidelines for the provision of assistance to Regulatory Authorities, so that these may regulate fairly the various forms of Local Loop Unbundling.
In addition, Law 2867/2000 of 19 December 2000 provides for the obligation of Telecommunications Operators with Significant Market Power to provide Fully Unbundled Access to the Local Loop to new entrant enterprises in this particular field of activity, under the same terms, with the same quality and at the same deadlines as those applicable to the provision of the same facility to enterprises which are already associated to them, without discriminations and at a price that corresponds to the actual cost.
In application of the above legal framework, by its Decision No 217/29 (FEK 751/B/15.06.2001) EETT approved, after modifications, the Reference Unbundling Offer (RUO) concerning Fully Unbundled Access to the Local Loop of the Hellenic Telecommunications Organisation S.A. for the year 2001.
5. What are the benefits of LLU to the consumer?
Provision to new entrants of Unbundled Access to the Local Loop will increase the level of competition and technological innovation in local access networks, something which in turn will promote the competitive provision of a full range of telecommunications services to customers, from simple voice telephony to high-speed data transmission services for continuous access to the Internet and for broadband services. Competition between telecommunications providers will lead to improvements in the quality of the telecommunications services offered to consumers. Moreover, as the market grows and economies of scale are created, lower prices will offer to a large part of the population the opportunity to have access to broadband services.
6. What are the services that can be offered through LLU?
The services that can be offered vary, and depend on the technologies used by telecommunications providers. Thus, the services that can be offered include voice telephony, broadband services etc.
7. What are broadband services?
Broadband services are services requiring high data transmission speeds. The following are mentioned indicatively as broadband services: video on demand, video conference etc.
8. What are xDSL technologies?
xDSL (Digital Subscriber Line) technologies take advantage of the entire frequency spectrum allowed by the metallic cables, allowing transmission of high-speed data through the metallic cables. The transmission speeds which can be achieved vary, and depend on the specific xDSL technology used. It is indicatively mentioned that, by using ADSL technology, speeds of up to 8Mbs (8Mbs downstream, 640Kbs upstream) may be achieved.
* DISCLAIMER:
The purpose of the above Q&A list is to provide all interested parties with a tool for understanding basic concepts and issues pertaining to Local Loop Unbundling.
Therefore, the present text has no legal validity / value and is not binding on EETT, which may, based on data available from international practice and in the framework of the Community and national legal framework as in force each time, adopt a different interpretation / attitude as concerns the individual concepts / issues pertaining to the application of Local Loop Unbundling.
