If the move goes ahead it will place broadband companies in a strong position to take a chunk of the 40% of homes being hooked up to superfast broadband in time for the 2012 Olympics.
‘BT’s decision to open up its broadband ducts is a significant step towards creating a level playing field in the roll out of super-fast broadband. Competitors and ultimately consumers will benefit from the £1.5 billion BT is spending on its new fibre optic network, setting 100Mb broadband in the sights of 40% of homes,’ said Steve Weller, communications expert at
uSwitch.com.
‘Once the deal is agreed, rival companies will have the opportunity to supply homes via their own fibre optic networks but using BT’s ducts and that means that they won’t have to dig up any roads themselves. While they will have to rent the ducts from BT, any savings they make could ultimately be passed onto consumers,’ he added.
He points out that firms will be in a stronger position to compete directly with BT Infinity, BT Retail’s new fibre optic broadband product that will be available to four million homes by the end of 2010 for £19.99 a month, capable of delivering speeds of up to 40Mb.
It could also open the way for others, such as
Virgin Media, to open up cable networks for rival firms to use. ‘Fibre optic broadband, already used by Virgin Media, is a high tech alternative to copper wire that will enable homes to enjoy more bandwidth-hungry applications, such as high definition movies, gaming and high quality streaming of video content such as iPlayer and YouTube,’ said Weller.
However, BskyB said it does not have any immediate plans for wide scale fibre services at present although it said it supported the idea of open infrastructure. Carphone Warehouse and its Talk Talk unit said it would consider launching its own trial to investigate its options further.
The industry is undoubtedly poised for change. The announcement from BT comes as the Conservatives have pledged to force companies to open up broadband options if they win the forthcoming general election.
‘Whatever their motives, this move takes us one step closer to making high speed broadband an affordable reality for consumers,’ said Weller.
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