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UK ISP Sky Broadband Launch Cheap 25GB Capped Superfast FTTC Package

Tuesday, December 9th, 2014 (10:19 am) - Score 5,065

Internet provider Sky Broadband (Sky) has today launched a new entry-level “Sky Fibre” superfast broadband (i.e. up to 38Mbps FTTC) service, which forgoes the past focus on unlimited usage allowances in favour of a 25GB data cap and a lower standard price of £10 per month (note: their unlimited options cost from £20 per month, with 76Mbps pushing that to £30).

As usual customers will be expected to take Sky’s Phone Line Rental at £16.40 a month and there’s also a one-off £30 activation fee to pay, not to mention an 18 month contract. Otherwise the new package comes will all the familiar extras like a free SkyHub (SR102) VDSL router (delivery charge of £6.95), free access to TheCloud’s UK WiFi hotspots, inclusive weekend UK calls and Sky Shield (Parental Controls and Anti-Malware).

Lyssa McGowan, Director of SkyBroadband, said:

We’re always looking to give customers even more reasons to choose Sky. Sky Fibre means we can now offer superfast speeds for just £10 a month – the lowest standard price in the UK. It’s perfect for those who want to try fibre for the first time.”

In the small print Sky also states that they’re “not currently monitoring your usage” and as a result customers who take the new product won’t be able to see their usage, although Sky have promised to send out usage warnings when the limit is exceeded; at least they will once they get around to actually monitoring your data consumption. Sky’s Usage Policy adds a bit more detail and notes that customers who twice exceed the limit in any 6 month period may be upgraded to an unlimited package.

Admittedly all of this might seem a bit odd given that Sky has tended to spend the past few years focusing very intently upon the merits of their “truly unlimited broadband” packages, which has fuelled their success as they were also one of the first ISPs to take such a path and stick to it; others tended to sway between unlimited and capped packages until the former became a standard expectation.

On the other hand it’s easy to forget that Sky also offers a basic broadband service with a 2GB usage cap (Sky Broadband Lite), which is offered for free to their TV and Phone customers, but it rarely receives much in the way of direct promotion.

Otherwise the matter of whether or not this is the “lowest standard price in the UK” depends very much on your base of comparison. Sky has clearly chosen its words carefully because “standard price” excludes the impact of special offers, which would change the value calculation (e.g. TalkTalk and BT have both recently offered free or £5 per month FTTC deals, with the forming being based off “unlimited” usage) and over the course of a contract term that can have a big impact.

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10 Responses
  1. Avatar Tim says:

    I think this is a good offer, probably only if you already have Sky TV and want to have bills in one place, but still good to see. Sky really needed a cheaper Fibre package to help bring their average speed up in statistics. Hopefully this is the start of a move away from pushing sales of old ADSL2+ services.

    I’ll probably look at getting my dad’s connection upgraded to this package in Jan/Feb when FTTC should finally become available.

  2. Avatar dave says:

    This is a good move, choice is a good thing. Would have been nice if the limit was 40GB though as 25GB is rather small. I still find it pretty crazy that sky charges so just for their fibre packages. they charge £20 + £16.40 line rental (£36.40) for 38mbps. Even without offers talktalk charges £13.50 + £16.70 line rental (£30.20), plusnet charges £14.99 + £15.95 line rental (£30.94). Sky needs to drop their 38mb £20/month down to £15/month if they want to increase their market share.

  3. Avatar dave says:

    btw, this price (£10/month + £16.40) = £26.40/month. This is 10p cheaper than virgin media’s 50MB unlimited tier. People who want fast broadband but don’t use much bandwidth now have an alternative to virgin media at about the same price without any special deals or cashback via quidco/topcashback.

  4. Avatar adslmax says:

    Sky will be laughing all the way to the bank. Really pathetic stupid 25GB per month! AVOID SKY at all cost!

  5. Avatar telecom engineer says:

    Oh dear…..
    Hope this isnt a harbinger of caps across all affordable products. Its great today if it is still unlimited but once they start enforcing this they will seriously risk eroding their reputation.
    high speed low usage seems an increasingly niche market…

    1. Avatar dave says:

      It isn’t niche, most pensioners just use the internet for email, online banking, ebay, amazon etc. None of those requires much bandwidth. There is definitely a market for this kind of tier. My grandparents live pretty close to the exchange so they get 11-14mbps, if they could only get 1mbps they would be signing up to this. As long as sky doesn’t remove their unlimited tiers then there isn’t a problem with adding new tiers.

    2. Avatar telecom engineer says:

      I agree that is the market, but from my experiance the older generation are also getting more involved in tablet usage iplayer etc…

      But as you say, if this is an extra choice and no more then no harm.

  6. Avatar telecom engineer says:

    Thinking again if the iptv streams / films over the set top box are not counted (ala bt vision) this could be a reasonable way to drive vod.

  7. Avatar DTMark says:

    The allowances might not be to everyone’s liking and seem a bit retrograde, but they make good business sense for the provider.

    Once you’ve signed up for 12 or 18 months based on previous usage patterns, start using the TV services and begin breaching your limit, are you going to cut your losses, pay penalties and move to another provider, or simply move to a higher tier with Sky?

    1. Avatar Web Dude says:

      25 GB is perhaps fine if you do a little web browsing and e-mail but with limited use of YouTube and similar browser based site, and fairly high use of Now TV and downloading podcasts (inc 1 GB per episode video shows), I’m regularly using 300++ GB a month (on a 10 Mbps line).

      I’m far more likely to use Plus.Net truly unlimited 38 Mbps (my estimate is only 33.5 Mbps anyway) than anyone else, but it will all depend on whether anyone else offers a cheap/ free line installation as I want another phone line for another part of the house, to link into the CCTV system (and faster upload speed will be a bonus, to make viewing from elsewhere work smoothly).

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