ihug Limited has withdrawn its application to the Commerce Commission for regulated access to bitstream under the Telecommunications Act 2001. Telecom and ihug have agreed terms for access to Telecom's commercial bitstream service.

Bitstream enables a telecommunications provider to provide broadband Internet access to its own customers using wholesale Asymmetric Digital Subscriber Line (ADSL) services purchased from Telecom.

The application fee of $22,500 paid by ihug to the Commission will be credited against ihug's share of the Commission's costs of investigating the application. Any remaining credit will be refunded to ihug.

 

Background

On 5 November, ihug applied to the Commission under section 20 of the Act for determination of terms for the regulated supply of access to, and interconnection with, Telecom's fixed PDN (bitstream access). ihug's application relates to access to a 2mbps/128kbps bitstream service and the price of that access.

On 26 November 2004, the Commission announced it would investigate the application from ihug Limited for access to regulated bitstream under the Telecommunications Act.