Ofcom has decided there are no grounds for action against BT following a complaint made by TalkTalk over wholesale fibre pricing.
The media regulator has dismissed TalkTalk's claim that BT - which allows other broadband providers to use its network infrastructure - operates a 'margin squeeze' in the UK.
According to TalkTalk, the prices charged by BT for access to its fibre network are anti-competitive, as they prevent other operators from offering more affordable services to their customers.
Having launched an investigation in 2013, Ofcom provisionally concluded in June that there were no grounds for action against BT.
The regulator has now confirmed this stance in its final judgement - a decision that will no doubt disappoint TalkTalk and other wholesale fibre customers.
Ofcom is expected to publish a final statement on the matter before the end of 2014.