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The Commerce Commission has started a review of the level of competition in the unbundled bitstream access service (UBA), which allows operators to supply a range of broadband services.
Telecom is required to provide a regulated UBA service to other telecommunications operators throughout the country.
The commission said today that where the commission found that Telecom faced limited competition in an area, then the regulated UBA service would remain available in that area.
Where there was sufficient competition Telecom may not be required to supply the service.
The commission said it was seeking information from providers and purchasers of wholesale broadband services.
It would consider the information before releasing a draft review report, expected by mid-September.