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UPDATE BT Undercut Small UK ISP Rutland Telecom to Broadband Enable Erbistock

Posted: 09th Sep, 2010 By: MarkJ
rutland telecom fttc walesFollowing news earlier this week that BT had quoted £550k to install broadband for just 80 homes in the rural UK village of Erbistock (Wrexham, Wales), a quote that was bested by small ISP rival Rutland Telecom (£50k), the operator has now found a cheaper solution for residents that will only cost them £100 a pop.

BT's original quote was, in fact, just one of several put forward by the operator and the company has since developed other potential solutions, although until now it hadn't said what they were or how much they'd cost.

The majority of local residents have been unable to receive a broadband service due to their homes being too far away from the nearest telephone exchange - Bangor-on-Dee. BT believes it has overcome this challenge by offering residents the option of transferring their line from the Bangor-on-Dee exchange to the closer exchange at Overton-on-Dee.

Olivia Garfield, BT Strategy Director, said:

"We have bent over backwards to find a broadband solution for Erbistock and have been exploring possible solutions for more than a year now. There have been considerable technical hurdles to overcome but we are pleased to say that we are now very close to delivering a broadband service to the community.

The proposed solution will deliver a stable copper broadband service to everyone in the village, and the open nature of our network means that local people will be able to enjoy a choice of broadband supplier and the great value deals that come with competition.

We take our responsibility to deliver broadband to as many homes in the UK as possible very seriously. We’re urging as many Erbistock residents as possible to take up the offer of moving their line to the Overton-on-Dee exchange so that they can start to enjoy the benefits of broadband."

BT claims that its solution should allow all 80 premises in the area to receive a stable copper broadband service, with speeds of between 1-4Mbps. Interested residents will still have to pay £100 to be swapped by their chosen broadband ISP, which must action the request, and will also lose their existing telephone number.

Small ISP Rutland Telecom (RT) UK, which quoted £50k for brining significantly faster FTTC broadband speeds of up to 40Mbps to the area, cried foul last week (here) and alleged that BT had shown no real interest in Erbistock until RT made an offer earlier this year. RT has historically been very critical of BT and caused them some regulatory problems, perhaps this is BT's attempt at karma.

UPDATE 13th September 2010

Villagers have apparently rejected BT's lower quote and chosen to stick with Rutland Telecom's faster bid.
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