UK broadband is too slow
1 commentThe Broadband Stakeholder Group (BSG), an industry-government strategy group for broadband issues, has warned that the UK is falling behind on Next Generation Access (NGA) networks. The warnings are stark - if the UK cannot keep pace with industry innovations, the British economy could slow as a result. Existing infrastructure, and the network products currently being rolled out, will soon be too slow to meet the demands of both domestic and business consumers. How soon? BSG believes as early as 2012.
European competition
Everyone seems to have broadband these days - whether living in London or, like me, a welsh village. Yet despite the current status quo, the UK is far from being at the cutting edge of telecoms technology. In the next few years, experts predict that the UK will start to seriously lag behind EU peers. France Telecom, No.1 in the European ADSL access market, is already trialling broadband speeds of up to 100Mbps in the french capital. Meanwhile Deutsche Telekom, provider of Germany's high-speed network, is gradually introducing download bandwidths of up to 50Mbps. Currently available in 10 cities, there are plans to roll out the high-speed network to 40 more towns and cities.
High-speed benefits
NGA networks really could revolutionise the way we do business, and provide substantial social and economic benefits. Home working, a concomitant reduction in emissions and transport congestion, and the possibility of remote medical and government services are just some of the positive effects of ultra high-speed broadband. Policies must safeguard all our future possibility of a "digital divide" between urban and rural areas. While telecoms companies may be drawn to the densely-populated, business-rich cities, e-capability is vital to rural communities.
Government backing
The UK government needs to act quickly to put in place a regulatory framework which encourages the necessary innovation and expansion. The British broadband market is hugely competitive, with over thirty providers vying to supply our homes and businesses. With profit-margins squeezed through competition, none of these companies are likely to invest heavily in the next generation without some government backing. Installation of optical fibres, so-called fibre to the home (FTTH) technology, is just one cost of bringing the UK up to speed and will require an outlay of at least 14 billion Euros. Time for Gordon Brown to get out the Treasury chequebook? The BSG is pushing the government to put policies in place by the end of 2009 at the latest, to ensure a market-led transition to next-generation broadband. If it fails to do so, and to back it up with a financial commitment, the UK risks losing its position as a key player in the global marketplace.
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