Page Impressions Ltd Blogcetera: BT takes aim at Virgin’s territory.

Monday, March 23, 2009

BT takes aim at Virgin’s territory.

BT revealed the list of exchanges that will get the 40Mbs fibre technology upgrade today. Twenty seven of the 29 sites are urban areas, with BT trying out just two rollouts in rural areas to "learn lessons from deploying fibre in such environments".

However, Virgin Media claims every one of the 29 sites selected for BT's initial fibre rollout is already covered by its high-speed cable network - meaning BT's initial rollout may do nothing to improve Britain's overall broadband speeds.

A Virgin spokesperson stated , "We already have 50 meg in four areas - Belfast, Watford, Halifax and Oldham”.  Furthermore it would appear that all the other BT designated areas are in Virgin cable areas which are due to be upgraded to the 50Mbs network over the coming year.

While BT's fibre will provide some much needed competition for Virgin, the overlap means Britain as a whole may not see any speed increase as a result of the initial BT rollout, which will cover 500,000 premises by 2010.  The decision to focus almost exclusively on urban areas will increase the “broadband apartheid” between urban and rural areas.  This disparity in service provision is becoming an increasing issue for rural communities, which are suffering disproportionately in the recession.  Access to broadband is being positioned as a right of all not just those who live in our cities.

Ofcom needs to ensure that every UK citizen has equal access to the new fast broadband services and that BT doesn't just use it's power to compete with Virgin at the expense of the whole UK community.

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