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Broadband in 2009

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Wednesday, 07 January 2008

Garnet Roach garnet@consumerchoices.co.uk

In a look at the year ahead, BroadbandChoices.co.uk will predict the three big stories for broadband in 2009.

Next generation broadband

Virgin Media (www.VirginMedia.com) recently launched the UK’s fastest broadband service with speeds of up to 50Mb, which will be made available to its entire network by summer this year, and the cable provider has said that it intends to offer speeds of up to 200Mb by 2012.

Most fibre optic networks are currently capable of delivering download speeds of up to 100Mb, and 2009 will be the year that the UK really begins to catch up with its peers in terms of super-fast, reliable broadband that allows you to download TV programmes in seconds, movies in minutes and really take the internet to the next level.

BT Broadband (www.BT.com) has already pledged £1.5 billion towards a UK-wide fibre network, though the Broadband Stakeholder Group - which advises the Government on broadband related issues - estimates that a fibre network covering the whole of the UK could cost as much as £28.8 billion.

Prime Minister Gordon Brown hinted this week that the Government could invest in the country’s broadband infrastructure in order to create jobs and ease the pain of a recession.

Mobile broadband

Last year was definitely the year of mobile broadband, and 2009 looks set to carry on the trend with even faster download speeds and even more mobile dongles and netbooks sold.

Vodafone Broadband (www.Vodafone.co.uk) already offers the UK’s fastest mobile broadband download speeds at up to 7.2Mb - though this is a rarely achieved maximum and only currently available in very select areas. In the coming year the ISP is planning on doubling this with speeds of up to 14.4Mb, and increasing general speeds across the whole of its network.

At the same time, competitors 3 Broadband (www.Three.co.uk) and T-Mobile Broadband (www.T-Mobile.co.uk), which share a network, are planning on boosting speeds from up to 3.6Mb to 7.2Mb during 2009. Orange Broadband (www.Orange.co.uk), O2 Broadband (www.O2.co.uk) and Virgin Media will also be upgrading their networks.

Mobile broadband devices will continue to evolve over the next year, with many more netbooks - ultra-portable laptops with built-in mobile broadband capabilities - emerging on the market. And mobile broadband providers may even begin offering standalone mobile broadband SIM cards as these laptops become more popular - allowing users to switch easier.

Consumer rights

Following research by telecoms regulator Ofcom into broadband hidden charges, which are tucked away into the small print, the watchdog has given ISPs until April to clean up their terms and conditions, making them clearer and fairer, before it takes action.

Other research showed that more than 25 per cent of broadband users are hit by hidden costs every year, costing them an average of £36 each - and rising to as much as £51 a year for BT customers.

Ed Richards, Ofcom chief executive, said: “When consumers shop around for the best deal, they should be able to easily assess the true cost of what’s on offer. We want to make sure that telecoms and pay-TV companies are up front about all their charges and, where there are small print charges, they must be fair.”

Last month Ofcom also launched a new code of practice on broadband speeds to ensure that consumers get an accurate picture of the kind of download speeds they can expect from their provider before signing up. ISPs must also explain how various factors can reduce speeds and explain any fair usage policies and what will happen if they are breached.

Providers covering more than 95 per cent of broadband customers have signed up to the code and Ofcom will be monitoring them over the next five months to ensure they’re sticking to the code.

As well as taking a stand on hidden costs and broadband speeds, Ofcom will continue to work on improving migrations procedures between different types of broadband providers such as standard ADSL and local loop unbundled (LLU) lines, and further reducing the number of consumers with “tagged lines”.

Michael Phillips, BroadbandChoices.co.uk product director, said: “2009 is going to be an exciting year for UK broadband, with speeds going through the roof and millions of people taking the internet outside with mobile broadband. People will be able to use the internet in new ways that will allow them to communicate, surf and download in a completely different way.”

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