{"id":1501,"date":"2012-08-21T09:48:15","date_gmt":"2012-08-21T08:48:15","guid":{"rendered":"http:\/\/www.ispreview.co.uk\/?p=1501"},"modified":"2012-08-21T09:48:15","modified_gmt":"2012-08-21T08:48:15","slug":"losses-of-gbp22m-hit-south-yorkshire-digital-region-broadband-network","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2012\/08\/losses-of-gbp22m-hit-south-yorkshire-digital-region-broadband-network.html","title":{"rendered":"Losses of GBP22m Hit South Yorkshire Digital Region Broadband Network"},"content":{"rendered":"<p>The troubled <a href=\"http:\/\/www.digitalregion.co.uk\" target=\"_blank\">Digital Region<\/a> (DR) project, which <strong>cost over \u00a3100m<\/strong> of public money to build and offers an alternative telecoms network to <a class=\"shortlink shortlink-145\" href=\"https:\/\/www.ispreview.co.uk\/index.php\/go\/britishtelecom\" target=\"_blank\" rel=\"nofollow\" title=\"BT\">BT<\/a> that helps 80% of premises in <strong>South Yorkshire<\/strong> UK to get superfast broadband services, has announced the loss of another<strong> \u00a322m<\/strong>.<\/p>\n<p><!--more--><\/p>\n<p>The network, which <strong>lost over \u00a39.2m in 2010\/11<\/strong> when it only created revenue of just \u00a3167,000, is now understood to have lost a further \u00a322m for the latest tax year. The figures include the extra public funding that was injected into the project in order to help keep DR alive until the end of 2012. On top of that DR&#8217;s \u00a327m EU grant may soon have to be returned because of its inability to meet Europe&#8217;s regeneration conditions (note: a contingency fund exists to cover this).<\/p>\n<p>The problems stem from the fact that DR simply hasn&#8217;t been able to attract enough customers or interest in its wholesale platform from big name ISPs, which has left the network in a position of being unable to make any money. A recent deal to use Fluidata&#8217;s <strong>Service Exchange Platform<\/strong> (<a href=\"http:\/\/www.ispreview.co.uk\/index.php\/2012\/08\/fluidata-brings-choice-of-50-uk-isps-to-digital-region-in-south-yorkshire.html\" target=\"_blank\">here<\/a>), which could give local homes a choice of more than 50 ISPs instead of just a handful, might help but it will take time for that to happen and it&#8217;s no guarantee of success.<\/p>\n<blockquote class=\"bq1\"><p><strong>Joint Council Statement on Digital Region (<a href=\"http:\/\/www.yorkshirepost.co.uk\/news\/at-a-glance\/main-section\/taxpayer-facing-huge-bills-as-digital-network-remains-unused-1-4852168\" target=\"_blank\">Yorkshire Post<\/a>)<\/strong><\/p>\n<p>&#8220;<em>Each of the four authorities and central Government has always been mindful of the cost and has taken every step possible to protect tax payers. However, all stakeholders are confident the project will successfully deliver a market-leading scheme that it vital for South Yorkshire\u2019s future.<\/em><\/p>\n<p><em>It was a brave decision by the authorities to part-fund this pathfinder scheme geared to alleviating the area\u2019s economic disadvantages. However, the project has become even more relevant and the objectives \u2013 to help individuals and businesses gain access to broadband \u2013 fit in perfectly with the Government\u2019s agenda to deliver superfast broadband right across the country<\/em>.&#8221;<\/p><\/blockquote>\n<p>At present the Digital Region contract, which currently resides with <strong>Thales<\/strong>, remains the subject of an on-going <strong>tender<\/strong> (sale) process. The networks backers, which include Sheffield, Doncaster, Rotherham and Barnsley Councils, hope to find a private company (e.g. ISP) that could continue to operate the network for another 7 years (public funds could still be used in support).<\/p>\n<p>The list of bidders has since been whittled down to a choice of either <strong>ETDE SA<\/strong> (Energy and Services Division of &#8216;Bouygues Construction&#8217;) or, somewhat ironically, <strong>BTWholesale<\/strong> (<a href=\"http:\/\/www.ispreview.co.uk\/index.php\/2012\/07\/bt-bid-for-troubled-uk-south-yorkshire-digital-region-broadband-network.html\" target=\"_blank\">here<\/a>). The final tenders are due to be submitted in <strong>September 2012<\/strong> before a decision is taken by December 2012.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The troubled Digital Region (DR) project, which cost over \u00a3100m of public money to build and offers an alternative telecoms network to BT that helps 80% of premises in South Yorkshire UK to get superfast broadband services, has announced the loss of another \u00a322m.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[1],"tags":[97,94],"class_list":["post-1501","post","type-post","status-publish","format-standard","hentry","category-uk_isp_news","tag-bt-wholesale","tag-digital-region"],"share_on_mastodon":{"url":"","error":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Losses of GBP22m Hit South Yorkshire Digital Region Broadband Network - 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