Digital Britain? Copper Cage, Open Networks

computerweekly.com | Business needs ignored in Digital Britain report | Author:Ian Grant | Posted: 12:38 18 Jun 2009

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Carolyn Kimber, chairman of the Communication Managers' Association, whose members spend £15bn/y on communications, wants a new Communications Act that balances better the interests of businesses and consumers. She said, "The CMA would have preferred to see an unequivocal commitment to carrier-neutral, open access networks as part of a revised universal access obligation."

The report preserved the "stranglehold" that BT and Virgin Media have over core networks, said Chris Smedley, chief executive of Geo, a private fibre network operator.

"Digital Britain (has) condemned the UK to an extended 'copper age'," he said. "It was meant to provide a framework to upgrade and modernise the UK's digital networks, but instead leaves us still dependent on antiquated copper networks for broadband."

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Countries studied by the Broadband Stakeholder Group, such as Australia, New Zealand, Singapore and Finland, were planning to install fibre to 75% to 100% of homes, which would give residents 100Mbps. South Korea was planning to introduce a 1Gbps service soon.

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Government intervention in superfast broadband around the world

Australia: A$43bn project to deliver fibre to the home (FTTH, capable of 100Mbps) to 90% of homes; 12Mbps to the remaining 10%. Public to own at least 51% of the project. Minimum A$2,750 (£1,350) per household, depending on public sector share of investment.

New Zealand: NZ$1.5bn of public money to be used alongside private investment to deliver FTTH to 75% of homes. NZ$1,000 (£390) per household.

Singapore: $0.75bn of public funds available to deliver FTTH to 100% of homes. $715 (£450) per household.

Finland: By end of 2015, 99% of homes will be within 2km of a fibre connection. 95% of homes will be served by the market. The remaining 5% will be two-thirds funded by public investment of €133m. €55 (£47) per household (additional investment required to connect homes to fibre infrastructure).

Greece: €0.7bn of public investment, with a further €1.4bn of private investment, to deliver FTTH to 2m homes. €192 (£160) per household.

USA: Stimulus package includes $7.2bn for broadband projects, some which is to stimulate investment in superfast broadband, although most is to expand current broadband services. $63 (£40) per household.

UK: Final Third Fund to raise £1bn over seven years to bring superfast broadband to every home. £6 per household per year; £42 per household over seven years

Source: Broadband Stakeholders' Group