By: MarkJ - 18 June, 2009 (1:24 PM) - Score: 892 - Fixed Line Broadband
BT has hinted that its £1.5bn next generation fibre optic broadband rollout, which aims to deploy super fast 40Mbps+ Fibre to the Cabinet ( FTTC ) technology to as many as 10m UK homes (40%) by 2012, could be expanded to cover 90% of UK homes. Well, provided the Digital Britain plans for a 50p tax on all fixed telephone lines (here) were to work in its favour, naturally.
However the Digital Britain report has already proposed that the revenue from a 50p (per month) "levy" would go to a special Next Generation Fund, which in turn would aim to reach 90% of UK homes and businesses with next generation broadband services by 2017. In that sense BT's statement really isn’t too surprising; an expanded rollout beyond 40% was perhaps inevitable.
Never the less we must question the feasibility of BT's idea, since estimates have suggested that it could cost upwards of an additional £3bn to bring next generation broadband lines within reach of the 90% target. The problem here is that a 50p levy would only raise just over half of what you'd need and it’s unlikely that all of it would find its way into BT’s coffers.
Ian Livingston, BT's Boss, told The Times:
"We're keen to get fibre to as many homes as possible - and so the levy is a positive step towards increasing availability. The devil will be in the detail, but, if the plans are workable, then it could be feasible that we [would] deliver somewhere in the region of 90 per cent coverage."
"We're keen to get fibre to as many homes as possible - and so the levy is a positive step towards increasing availability. The devil will be in the detail, but, if the plans are workable, then it could be feasible that we [would] deliver somewhere in the region of 90 per cent coverage."
However the Digital Britain report has already proposed that the revenue from a 50p (per month) "levy" would go to a special Next Generation Fund, which in turn would aim to reach 90% of UK homes and businesses with next generation broadband services by 2017. In that sense BT's statement really isn’t too surprising; an expanded rollout beyond 40% was perhaps inevitable.
Never the less we must question the feasibility of BT's idea, since estimates have suggested that it could cost upwards of an additional £3bn to bring next generation broadband lines within reach of the 90% target. The problem here is that a 50p levy would only raise just over half of what you'd need and it’s unlikely that all of it would find its way into BT’s coffers.
Tweet
Comments: 1
RocklettPosted: 22 June, 2009 - 12:09 PM
Link to comment
I'm not sure the idea of the government fund is to [b]completely[b] cover the cost of fibre to the cabinet, but rather to bring the costs in-line with rolling out FTTC in 'easier' areas (i.e. whereever BT see competition from LLu operators).
Generated in 0.51476 seconds.
DB queries: 8
Copyright © 1999 to Present - ISPreview.co.uk - All Rights Reserved (Terms, Privacy Policy, Links (.), Live Chat & Website Rules).