Posts Tagged superfast broadband
Ofcom implements new broadband advertising guidelines – consumers everywhere react
Posted by Hollie in Latest Broadband News on April 25, 2012
On April 1st, new guidelines were implemented by Ofcom to prevent ISPs (internet service providers) from making misleading claims in their advertising campaigns. We’re all familiar with the ‘up-to’ rates advertised by the major providers. However, Ofcom has since ruled that it is no longer acceptable to make such unrealistic promises, when the fact is that many households are simply unable to access certain services, largely due to connectivity restrictions in the area in which they live.
Whilst many have welcomed the news, many consumers feel that the new guidelines just simply don’t go far enough. The new rules state that ISPs can only advertise a broadband speed if 10 percent of their existing customer base can achieve said speeds. However, consumers feel that such a low percentage does not accurately reflect the service has a whole, thus ISPs are still perfectly able to present their customers with erroneous information.
In a survey of more than 1000 people, conducted by think broadband, forty three percent of respondents stated that they felt that a table should be presented to customers, clearly displaying exactly what speeds are available and in which areas. 33 percent stated that they felt that a median figure would be more acceptable, meaning that internet providers would only be able to advertise speeds if they were achievable by at least half of their existing customer base.
Perhaps then the use of a broadband comparison service would be more more revealing to the researching prospective customer. The information being compared would be based more on a set of ‘real life’ figures that, once consumer confidence has been restored in the figures released by the providers, could be evaluated on the comparison websites and used to make good decisions about which company to sign up with in any geographical area.
Whilst it is certain that the major ISPs have been somewhat fallacious in their advertising, it is extremely difficult to predict exactly what services are available and in which area. It is not always simply a matter of connectivity restrictions due to the area in which a person lives. A good internet connection relies on a number of things, including the quality of the existing telephone line and this is often not detected until after installation.
It will be of great interest to see exactly what the long-term effect of these new guidelines will be and whether in turn, customers will become more satisfied with their internet services.
Superfast broadband ‘vital’ to most consumers
Posted by Jeremy in Latest Broadband News on February 12, 2012
Superfast broadband has become the Virgin Media product of choice. Half of new customers and a sizeable proportion of existing customers are choosing this service.
Chief executive of Virgin Media Neil Berkett claims superfast broadband phone and digital TV are the biggest generator of income. ‘Demand for better broadband also continues to grow fast, with around half of new customers choosing superfast speeds’.
These high speed coaxial cables pump data at an average speed of between 47.7 and 49Mb. Virgin’s fourth quarter revenue reached £1 billion last year, which demonstrates the growth the company is still experiencing due to efficient new services. Berkett observed that Virgin’s ‘strategy of focusing on customers who want more from the digital world is paying off.’
Superfast broadband phone and digital TV is just as important in the business sector. By keeping up with technological advances in this industry businesses can save themselves a great deal of money and time.
This crucial amenity is not only improving the lives of house and office tenants but now actually pushing up the prices of houses also. Research conducted by ISPreview displays how many UK consumers now see rapid broadband as a vital utility – one that they cannot live without 80 per cent agreed. Yet many homes in rural areas lack access to top download speeds. Research is indicating that this can make all the difference to a property sale. More than half of those questioned (57.4 per cent) claimed they would be willing to pay more for a home with super-fast download capabilities – defined as 25Mb or greater. The demand for premium broadband properties is on the increase and needs to be considered by landlords all over the country.
It is extremely important for property tycoons to realise the nation’s reliability on superfast broadband and to make this an essential element when looking to buy or sell new properties.
South Yorkshire broadband scheme investigated after £9m losses
Posted by Jeremy in Latest Broadband News on January 22, 2012
A fibre optic broadband scheme in South Yorkshire has come under investigation following an announcement that it had recorded losses amounting to £9 million within its first year of being operational. Launched in 2010, the project is tasked with making super-fast fibre broadband coverage available to the whole of South Yorkshire and has so far built a fibre optic network totalling more than 350 miles across South Yorkshire.
The project was launched independently of the fibre broadband rollout schemes that BT and Virgin Media are currently undertaking, with investors hoping to offer to sell use of the network to internet service providers (ISPs) at wholesale price. However, reports are suggesting that the scheme has attracted little interest from the targeted ISPs, leading to the announcement of £9 million losses over the last year.
Funding for the scheme was provided by Barnsley, Rotherham and Doncaster town councils and Sheffield City Council, with agencies such as the European Regional Development Fund and Yorkshire Forward also contributing to the £92 million bill. Despite this impressive budget, according to figures filed with Companies House the scheme has so far only brought in £167,000 worth of revenue.
The BBC reports that Rotherham Council is leading the investigation into why the project has failed to entice more custom on behalf of the other authorities involved. Concerns were first raised by a scrutiny panel working for Barnsley Council in September 2011 who noted that the rollout of the new network had taken more time than had been expected.
Leader of Barnsley Council Steve Houghton said the scheme had not “been as effective as we hoped”. He also added that the investigation was being carried out to: “see what the pressures and issues are and to see if we can make sure we deliver the outcomes we are looking for”.
A report is expected from Rotherham Council in the next six weeks.