{"id":22750,"date":"2020-06-16T14:29:05","date_gmt":"2020-06-16T13:29:05","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=22750"},"modified":"2020-06-16T16:44:52","modified_gmt":"2020-06-16T15:44:52","slug":"peoples-fibre-quits-deeside-fttp-rollout-blames-openreach","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2020\/06\/peoples-fibre-quits-deeside-fttp-rollout-blames-openreach.html","title":{"rendered":"People’s Fibre Quits Deeside FTTP Rollout – Blames Openreach UPDATE"},"content":{"rendered":"

New UK ISP People\u2019s Fibre<\/a>, which earlier this year revealed that they intended to deploy a 1Gbps capable Fibre-to-the-Premises (FTTP<\/a>) broadband network (starting in North Wales), have abruptly pulled out of a planned roll-out in Deeside due to Openreach<\/a>’s rival full fibre plans “directly blocking both our progress and investment<\/em>.”<\/p>\n

The provider first popped up on our radar in January (here<\/a>) and the extended group claims to have “been deploying full fibre in Sweden for the last 10 years<\/em>,” while their plan in the UK seemed to revolve around serving “homes and small businesses in areas where FTTP<\/a> is non-existent or poor<\/em>.” Back then we knew very little about the ISP, but a number of people in North Wales helped us to identify that their initial focus was on Deeside<\/strong>.<\/p>\n

At the time most of the broadband coverage in Deeside<\/strong> had come from Openreach<\/a>’s (BT<\/a>) hybrid fibre FTTC<\/a> (VDSL2<\/a>) and G.fast<\/a> networks, but they also had a few small patches of FTTP<\/a> present in the area. Deeside is quite a predominantly industrial conurbation of towns and villages near south Chester, which is where Openreach<\/a> has been building a fair bit of FTTP (they also announced a plan for Flintshire towns and villages in late January).<\/p>\n

Overall Deeside looks like an area that might just about support commercial competition between a couple of full fibre rivals, particularly since Virgin Media<\/a> has skipped it (there’s normally a couple of major gigabit-capable networks targeting most urban and suburban areas) and the prices for People’s Fibre are attractive (e.g. from \u00a330 for 900Mbps). On the other hand Deeside isn’t super dense and so the risk for a new entrant is higher.<\/p>\n

Despite this the new ISP has this week announced that they’ve opted to stop their “full fibre<\/em>” deployment in Deeside due to a seemingly recent and allegedly unexpected announcement from Openreach, which they say has started to deploy their own FTTP in the area (as above, they were already present, but it’s certainly possible that they may have ramped-up in response to People’s Fibre).<\/p>\n

People’s Fibre Statement on Deeside<\/strong><\/p>\n

“Over the past few months we’ve been working hard to establish a Full Fibre network in Deeside. But recently, with no announcement, Openreach started to roll out their own network in the area, directly blocking both our progress and investment.<\/p>\n

With this new Full Fibre network being deployed in Deeside, our service is no longer needed there, and so unfortunately we are moving to our next area.”<\/p><\/blockquote>\n

We have seen Openreach use questionable overbuild tactics in the past, although those cases usually involved public investment (a much more controversial issue) and there were sometimes also complications with Open Market Reviews (OMR) by local authorities.<\/p>\n

However the issue tends to be less contentious where commercial projects are concerned. Overbuild is a fact of life for any aggressively competitive commercial market, particularly in denser urban areas, and so far the UK Government have been happy to let rivals fight it out. Nevertheless some rivals have previously complained that Openreach’s approach can make it hard to establish themselves in the market.<\/p>\n

Leo Chong, Founder & CEO of People’s Fibre, told ISPreview.co.uk:<\/strong><\/p>\n

“As I’m sure you’ve sensed before we’ve been quite secretive with our planned areas due to fears of being overbuilt.<\/p>\n

However we’ve been transparent with both Ofcom<\/a> and Openreach about our plans for the area since October of last year and as you’ve previous article disclosed we even started going door to door around that time taking “pre-orders”. We set ourselves up to be a local fibre company by hiring staff local to the area, relocating our London based staff to the area, getting warehouse space for kit and materials and just before Covid-19 we even put in an offer for retail space on the local high street.<\/p>\n

However as we already mentioned in our Code Powers application, our purpose is to serve communities with either no access to full fibre or poorly served areas, which is also an investor promise. It is of our opinion that there was no prior announcement from Openreach about building an FTTP network in this area and when we had established ourselves within the local exchange and had contractors out surveying the area, the entire area all the sudden got swarmed by Openreach and their subcontractors, deploying an unannounced FTTP Network.”<\/p><\/blockquote>\n

An Openreach Spokesperson said:<\/strong><\/p>\n

“Openreach was created to help promote retail competition across Britain\u2019s telecoms market and takes any allegations of non-competitive behaviour very seriously. We\u2019re currently investigating the claims made by People\u2019s Fibre.<\/p>\n

We share the UK Government\u2019s and Ofcom<\/a>\u2019s view that delivering a future-proofed broadband network across the UK is best achieved through full and free competition between different network providers and the highly regulated Physical Infrastructure Access programme supports this.<\/p>\n

We\u2019re determined to deliver a next-generation broadband infrastructure across the UK by providing third parties with access to our existing physical infrastructure, and by accelerating our own FTTP build programme.”<\/p><\/blockquote>\n

The provider has also put out a related information video (see below), which adds that their deployment was due to “rely on the use of Openreach ducts and poles to install our own fibre<\/em>” (i.e. the Physical Infrastructure Access project that enables rival ISPs to run their fibre through OR’s ducts etc.). This is a fairly normal thing now for alternative networks to harness, even in some areas where OR’s FTTP is already present.<\/p>\n

People’s Fibre have now moved on to target a different location and, perhaps understandably, they aren’t going to say where that is (we’ll most likely spot it at some point). However hopefully they have a plan for dealing with this in the future since the Government does seem to expect that the commercial market will cater for the first 80% or so of premises; overbuild is an inherent risk factor in that.<\/p>\n

Meanwhile for Openreach it’s often a case of damned if they do, damned if they don’t.<\/p>\n

https:\/\/www.youtube.com\/watch?v=bztUajcAwgY<\/p>\n

UPDATE 4:44pm<\/strong><\/p>\n

Added a comment from Openreach above.<\/p>\n","protected":false},"excerpt":{"rendered":"

New UK ISP People\u2019s Fibre, which earlier this year revealed that they intended to deploy a 1Gbps capable Fibre-to-the-Premises (FTTP) broadband network (starting in North Wales), have abruptly pulled out of a planned roll-out in Deeside due to Openreach’s rival full fibre plans “directly blocking both our progress and investment.”<\/p>\n","protected":false},"author":1,"featured_media":22753,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[1],"tags":[65,56,71],"class_list":["post-22750","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uk_isp_news","tag-ftth","tag-fttp","tag-wales"],"share_on_mastodon":{"url":"","error":""},"yoast_head":"\nPeople's Fibre Quits Deeside FTTP Rollout - Blames Openreach UPDATE - ISPreview UK<\/title>\n<meta name=\"description\" content=\"New UK ISP People\u2019s Fibre, which earlier this year revealed that they intended to deploy a 1Gbps capable Fibre-to-the-Premises (FTTP) broadband network\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ispreview.co.uk\/index.php\/2020\/06\/peoples-fibre-quits-deeside-fttp-rollout-blames-openreach.html\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"People's Fibre Quits Deeside FTTP Rollout - 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