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DSL may become available soon
Thursday, March 14 2002
by Matthew Clark


After a six-month dispute between the ODTR and Eircom, Irish consumers and
businesses many soon have access to DSL technology. 









On Wednesday, the telecommunications regulator, Etain Doyle, said that the
conflict should be resolved shortly, though she declined to expand on the meaning
of those comments. Doyle made the statement at a US-Ireland e-Logistics forum
held at Farmleigh House in Dublin.



More evidence that the dispute may soon be resolved came from the Irish Times who
cites unnamed industry sources on Thursday, claiming that the ODTR and Eircom
were close to a resolution of their dispute. 





At the heart of the conflict is the wholesale price Eircom wants to charge other
telecommunications providers for DSL. Originally, Eircom planned to charge other
operators EUR75 per month, per customer, to connect to its DSL network. But Doyle
insisted that this figure was much too high and blocked Eircom from rolling out
both its consumer and its wholesale DSL service.



Eircom has said that any other price would not be cost effective. But now it is
thought that the company is willing to agree to a wholesale price of around EUR50
per month.





Pressure has been steadily mounting on Eircom and the regulator to conclude their
dispute, since the first day it began. Furthermore Eircom now faces the prospect
of competition from other telecoms who are moving ever closer to offering their
own service without buying DSL from the former state owned telecom at a wholesale
rate.



In November 2001, Esat said it had gained access to one of Eircom's exchanges in
Limerick and planned to offer its own DSL service by April. At the time the
company said that it had targeted 39 exchanges to be operational by the end of
2002, and was hoping to rollout DSL in Galway and Cork following its work in
Limerick. 



Meanwhile a company run by former Formus executives, European Access Providers,
is planning to introduce wireless broadband Internet services in Dublin before
April as well. EAP's technology is known as fixed wireless broadband, and it will
provide the company with a way to offer broadband services much faster than
dial-up, but without the need to lay cables to user's premises. 





Along with the potential competition, the ODTR and Eircom have faced pressure
from groups like ALTO, Ireland Off-Line and ICT Ireland. In fact, a wide range of
organisations and companies throughout Ireland have expressed worries about the
potential consequences of the Republic's lack of broadband and with an election
looming in the next few months, the intensity of concern is increasing.



Even the European Commission has weighed in on the debate, saying one of its
primary goals in the telecommunications sector in 2002 would be increased access
to broadband for European consumers.