The 4th Utility ISP Set to Expand UK Rollout of FTTP Broadband

UK ISP 4th Utility is now ramping up their rollout of a 1Gbps capable Fibre-to-the-Premises (FTTP) broadband network to include existing homes (SDU) and large residential blocks (MDU). Until now the operator has tended to only focus on new builds (plus commercial properties) and will soon have passed 36,000 homes.

The provider first began building their new network a few years ago (here) and have been working closely with various property developers. But in 2020 they were then given a £25 million investment boost from DIF Capital Partners (here) and set a target to cover 300,000 premises by around autumn 2023.

However, the operator has just put in a new application for Code Powers from Ofcom, which is typically used to help speed-up deployments of new fibre optic infrastructure and cut costs, not least by reducing the number of licenses needed for street works. It can also help facilitate access to run new fibre via Openreach’s existing ducts and poles (PIA).

The application notes that it would faciliate an expansion of 4th Utility’s fibre network to “residential and commercial premises across the UK, including the provision of backhaul connections (between apartments / developments and its network nodes), which have hitherto been purchased from other telecoms providers.”

The intention is to deploy this network “where the speed of existing broadband access falls below the national average” and to also provide “wholesale services to other telecoms providers on an open access basis,” as well as via their own retail packages.

We queried all of this with the provider’s CIO, Jimmy Acton, who kindly confirmed that they intended to expand their rollout to cover existing properties (primarily MDUs), as well as maintaining their current effort with new build developments. But they won’t have this market all to themselves as Cityfibre, Openreach, Virgin Media, Hyperoptic, CommunityFibre and others are all playing in the same waters.

The current expectation is that 4th Utility will have passed 36,000 homes by the end of March 2022 and then 94,000 homes by the end of December 2022, which represents a significant ramping-up of their prior build rate. In theory, that should give them a reasonable shot at hitting the aforementioned target, provided they keep ramping-up through 2023.

Customers typically pay from around £25 per month for a symmetric speed 50Mbps broadband package, and this goes up to £57.99 – £60 if you want their top 300Mbps – 1000Mbps home tier. Prices, service speeds and activation fees can vary a bit between specific developments.