Mar 27, 2017

BT: tough customers

Industries where companies are both customers and competitors, by contrast, are breeding grounds for animosity. On Monday, Ofcom imposed a fine on BT following a complaint from Vodafone. The UK communications regulator is under pressure to show its mettle after opting not to force a full separation of BT from its network division Openreach, which remains the company's biggest earner. A £42m fine and £300m refund payments for tardy line installations and inadequate compensation are a light kick in the shins for a company expected to report revenue of almost £24bn in the year to March 2017. The company says the problems have been fixed and it will treat the costs as a one-off.

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