1. Access To Bandwidth Option 2 Product Definition Discussion Discussion is without prejudice to BT’s position with respect to Option 2

2. abab Possible Product components Availability Co-location Basic Product Metallic Path Conclusion Agenda

3. abab Possible Product components Virtual co- location Node

4. abab Availability Available to Public Telecommunications Operators Available at BT Exchange Areas:  with long-term future.  with metallic pairs.  with appropriate competitive environment?.

5. abab Co-location General Virtual co-location(offsite) or Dedicated Operator room, minimum 25 sq m?. Where space limited  First come, First served. What ancillary service obligations?  IN: lighting, heating, general utilities, air- conditioning.  OUT: DC power, stand-by facilities, racks, cable runways, distribution frames.

6. abab Co-location Applicable contract Property Law applies  BT retains rights of property use.  Advance payments for major construction/ building alterations.  Landlord deposit, minimum term?.  No sub-leasing.  Termination conditions.

7. abab Co-location Operator Obligations Use equipment that conforms to Spectrum management plan. Equipment haulage. Health & Safety, EMC. Rubbish & waste removal.

8. abab Co-location Backhaul Access No Operator access to BT ducts. Options:  Metallic path extension ( tie-cable).  In-Span Handover outside the Exchange.  Leased circuit(eg. 2MB) from BT.

9. abab Co-location Site visits Operator to provide reasonable notice of visit. Operator Agent escorted by BT. No access to Exchange MDF. Emergency visits - reasonable endeavours.

10. abab Basic Product Metallic path. Broadband only(greater than 128kbit/s)?. Residential and SME End-users only?. How does Product relate to basic Telephony?  Incremental to Telephony pair(not necessarily BT’s).  Effect on Universal Service Obligation?.  Technical difficulties pair sharing with BT Telephony.

11. abab Metallic path(1) Service demarcation points:  at End-user premises; NTP.  At BT Node = ( OLO Room, NOT MDF)  No customer wiring by BT. State of path on handover  Pre-tested estimate of distance.  No guarantees on future performance.

12. abab Metallic path(2) Contractual relationship between Operator and BT. QOS parameters?  Timescale to provide path/ repair? Spectrum management plan?  How to police & enforcement rights. Exchange Area Data obligations?  Post Codes served?

13. abab Metallic path(3) Industry process required:  End-user handling during transfer between Operators  Link metallic path orders to co-location and Backhaul. Testing/Fault maintenance responsibility?  Test access points & their availability?

14. abab Operational Processes (incl. Billing) High level of automation required. CSS lead-time constraints. New systems design & lead time constraints.

15. abab Conclusion Operationally complex Definition needs to be agreed & reference offer developed. Once agreed,  Define Trial, Run Trial & reflect trial experience in operational processes/systems. Challenging implementation timescale.