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April 7, 2011

ISPs complain that BTs fibre access costs are too much

ISPs are complaining that BT have set their fibre broadband infrastructure prices too high and are putting the future of next generation fibre broadband int he UK in jeopardy.

A letter to Ed Vaizey, the communications minister, from 5 ISPs which included TalkTalk and Virgin Media claimed that BT were charging too much to access it’s physical infrastructure including ducts and poles and that with the prices at their current rate it would be actually be cheaper for them to replicate the existing infrastructure starting from new.

The letter goes on to say that due to the Physical Infrastructure Access (PIA) terms and pricing that are imposed currently by BT the whole £830 million plan by the Government with it’s Broadband Delivery UK (BDUK) scheme could be derailed unless pricing is changed.

PIA is designed to allow BTs rivals to access their pyscial network including poles and ducts to lay their own fibre. It was claimed that BT want to charge it’s rovals £21 per pole attachment which is up to 4 or 5 times higher than the £4 that BT pays for it themselves.

BT said:

Our proposed prices for duct access compare very well with European averages. Our plans for pole access have been held up due to others delaying our trials.

Although Ed Vaizey is unable himself to force BT to lower their prices, he can pass the matter on to Ofcom, the UK telephone regulator who will be able to investigate the charges and if it wants they can force BT to lower their prices.

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- Filed under: Fibre broadband
- Tags: BT fibre, Fibre broadband rollout
Author: Mark @ 10:25 am

November 13, 2009

BT’s Fibre Broadband coverage won’t meet demand

Fibre Optic Broadband won’t meet the demand there is for it according to a fibre optics network map produced by Point-Topic.

bt fibre network map 171x300 BTs Fibre Broadband coverage wont meet demandBT has planned to connection 10 million homes to it’s Next-Generation Access (NGA) broadband network but this is falling way short of the demand that there is for the service.

BT is installing FTTC (Fibre To The Cabinet) for most which will provide broadband speeds up to 40Mb, there will also be some who will have FTTP (Fibre To The Premises) installed which could offer broadband speeds up to 100Mb. The problem comes in that an estimated 60% of the UK won’t have the fibre broadband network available to them by 2012 when BT hits it’s 10 million target.

The current plans are thought to mean only 35% of the population would be able to access the next generation network by 2012 with the remaining parts of the population not getting it before 2012 or even for possibly much longer.

Point Topic said:

BT’s planned NGA rollout, as so far announced, falls a long way short of covering even those areas where NGA should be economically attractive even without subsidy. The contribution from altnets looks quite limited at the moment as well. Thus about 60% of the UK population have no prospect of getting NGA before 2012, and maybe for much longer

and

this new digital divide will cause heated controversy as many customers discover they cannot get the new high-speed services which their neighbours enjoy.

We could also find that house prices in areas that are in the fibre broadband enabled areas increase or the houses are more sought after, which also ties in with the story we published the other day about how “Broadband speeds could make or break a house sale“.

The difference between fibre broadband users and standard ADSL users broadband will create  huge digital divide and it is something that needs to be looked at to make sure there is broadband equality across the UK and to keep us in line with the rest of the world.

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