Communications industry watchdog Ofcom has announced the next step in plans to encourage and regulate competitive next generation networks (NGNs).

NGNs employ digital technologies to communicate network traffic such as telephone calls with high efficiency. Internet protocol (IP) based services, such as the voice-over-IP used by Skype, can be developed more quickly and at lower cost than traditional telecoms networks.

Ofcom have led this move by establishing a new industry body specific to this technology, called NGN UK. The organisation was first proposed in June 2005 and will be headed by Peter Black, who takes the reins as executive chairman.

At the beginning of March, eight companies had committed to NGN UK including BT Group, Cable & Wireless, Easynet, Kingston Communications, NTL, Thus, Vodafone and Wanadoo UK. Initially the industry body will aim to establish an ‘effective technical and commercial framework for interconnection between NGNs’, later reverting to a more regulatory role.

This announcement coincides with news that BT has completed negotiations with a number of major telecoms equipment manufacturers for the technology that will be used in its so-called ‘21st century network’, and expects the migration of telephone lines from traditional networks to its NGN to begin as soon as the second half of 2006.