Ofcom Consumer Panel demands-action

Thousands of Internet users are being short-changed by Internet broadband connections that are slower than advertised, Ofcom said on Wednesday.

An independent voice for consumer interest in the communications markets, has-asked Ofcom to take the lead in producing a mandatory code of practice for internet service providers.

The Consumer Panel, which advises communications regulator Ofcom, said there was widespread discontent among computer users that broadband can be frustratingly slow.

> Letter on broadband speeds to Ed Richards, chief executive of Ofcom (pdf)

About the Panel

The Consumer Panel is made up of part-time members with a balance of expertise in consumer issues in the electronic communications sector. There are members representing the interests of consumers in Scotland, Wales, Northern Ireland and England.

Consumer Panel Members are appointed by Ofcom, subject to approval by the Secretaries of State for Business, Enterprise and Regulatory Reform and for Culture, Media and Sport. They are appointed in accordance with Nolan principles for two or three year terms and are eligible for re-appointment. The Consumer Panel is assisted by a small support team.

'Digital Dividend' Plan

Ofcom has released details of its plans for awarding the spectrum that will be freed up by the switch to digital TV in 2012.

Ed Richards, CEO of Ofcom, said in a statement: "The digital-dividend will be one of the most significant and valuable spectrum releases in the UK for 20 years. Our approach is designed to maximise these considerable benefits for UK citizens and consumers as a whole.

"We can expect the benefits of the digital dividend to include more choice, fresh competition and technological innovation."

The regulator said it has identified several potential uses for the latest spectrum windfall -- which it believes will add £5bn to £10bn to the UK economy over a 20-year period -- including high-speed mobile broadband, mobile TV and local TV stations.

Via BusinessWeek

Broadband Trends - 2007

A new-report has revealed that broadband uptake is on the rise in the UK.

In its latest International Communications Market report, telecoms regulator Ofcom states that more than half of all British households had a broadband connection at the end of last year.

"The report shows that convergence, bundling and the move to digital communications is a powerful global phenomenon," commented Ed Richards, chief executive of Ofcom.

Broadband upgrade 'could boost businesses'

Proposals that Britain's broadband network should be upgraded to fibre optic connections have the potential to give businesses a boost, it has been suggested.

"It definitely will have an impact on small businesses, especially as the amount of data that we look to transfer increases in size," said Michael Phillips, product director for Broadband Choices.

BT to offer bonded broadband

BT Wholesale is to offer ISPs a service that combines multiple broadband links into a single reliable high-speed pipe, for users that want a better service than ADSL, but don't want to pay for a leased line.

"There's a gap in the market, between a single broadband connection, which is good enough for lots of people, and a leased line which costs £1000 a month," said Keith Collins, sales and marketing director at Sharedband, the startup that is providing BT Wholesale with the bandwidth-bonding software.

Future Broadband

UK is lagging behind in the push for next-generation broadband-networks.

BT has said it is unwilling to fund a £15bn fibre-optic network to every home in the UK, and there are concerns over how such a network would make money.


> Find out more about the technologies that could deliver faster broadband.

Why do we need faster broadband?

Most pundits agree that a new age is dawning where using your broadband connection for a bit of web surfing and sending the odd e-mail has ended in favour of video-dominated applications.

"Britons are displaying an increasingly significant appetite for supplementing their viewing habits online," said Nielsen analyst Alex Burmeister.

Broadband-UK Facts >

• 43% of South-Koreans play online games


• 19% of Brits play online games


• Swedish gamers enjoy speeds of up to 100Mbps

> Why do we need faster broadband?

Big on Broadband

Nearly nine out of 10 connections to the internet in the UK are now made via broadband, according to the Office for National Statistics.

In its latest survey, the organisation found that 88.4 per cent of Britons are using broadband, up by nearly a third from 12 months ago.

Tim Johnson, chief analyst at analyst group Point-Topic said, potential users had been put off by reported problems in getting a broadband connection up and running, and confused by the gap between promised and actual speeds.

> Internet Connectivity First Release - Q3 2007 (Pdf)

Unlimited UK Broadband

Ofcom announced its decision to amend the radio spectrum licence held by UK Broadband Limited.

The company is a wholly-owned subsidiary of PCCW, the largest telecoms provider in Hong Kong where their broadband service is provided to over 950,000 customers.

Thames Valley was the first place in the UK to experience UK Broadband’s service, which offers wireless broadband for the home and office. This wireless broadband access does not need a telephone line or cable connection to operate and the service can be set up in a few minutes, with a plug and play device.

The change allows the company to offer internet-connections to portable or mobile devices.

> Ofcom changes UK Broadband's licence

Orange and The Cloud

Orange customers in the UK are now able to take advantage of a further 7,500 UK Wi-Fi hotspots following a deal with The Cloud.

The mobile operator already offers Wi-Fi hotspots to its customers through partnerships with BT-Openzone, France Telecom & WeRoam.

> BBC has its head in The Cloud

France Telecom sees "special case"

Nov 16 (Reuters) - France Telecom believes its British operation is a "special case" that does not currently meet its criteria for investments elsewhere in Europe, Chief Executive Didier Lombard said on Friday.

"I should have said that the UK is a special case," he said. "In fact, the first step is to improve the UK operation."

Orange UK, a mobile and broadband operator, saw operating profit fall in the first six months of the year. Former chief-executive Bernard Ghillebaert had blamed copy-cat tactics from rivals for damaging a once cutting-edge brand.

UK Broadband Market - Introduction

Background: Broadband is the technology that allows ‘always on’ access to electronic communications at much faster speeds than have been available with traditional ‘dial-up’ internet connections.

Broadband has been seen as a vital component of the ‘knowledge economy’ that the Government has emphasised so strongly, and is also seen as a driver of economic growth and competitiveness.

In its written submission, the DTI cites evidence that suggests that the use of broadband could result in productivity savings of £3.5 billion and £1.2 billion cost savings for SMEs in Britain.

For businesses, broadband can transform the relationship between a company’s employees, and between a company and its suppliers or customers. For domestic users, broadband opens up a range of leisure possibilities such as on-line gaming, and film and music downloads. It also allows easier on-line shopping/banking and has the potential to enable access to information.

The Government has set targets for both the competitiveness and the extensiveness of the UK broadband market. However, in the short term there may be a trade-off, focussing on rolling out broadband may be at the expense of competition.

For take-up of broadband to rise in the UK, potential users need to be convinced of the benefits that they can gain from it. This will require a continued increase in the quality of the goods, services and products.

Content cannot be entirely separated from infrastructure matters and, to ensure that this content continues to develop, the speeds that constitute broadband will have to steadily improve as well.

The Government’s role is to facilitate the roll-out of broadband so that it is available to those who can benefit and to make certain that the regulatory framework ensures that commercial decisions by private companies are aligned with the wider economic and social needs of the country.

> Source: Trade & Industry Committee, UK BB Market, 2nd Report of Session 2003-2004.