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Total broadband connections top 14.3 million
(25-10-07) - Ofcom’s latest telecoms market report shows that BT has increased its market share as total broadband connections passed 14,365,000 by the end of March this year.
BT Total Broadband (www.BT.com) - the retail arm of BT - increased market share from 23.9 per cent in Q2 2006 to 25.9 per cent by Q2 2007, despite heightened competition from ever-cheaper unbundled providers.
Local loop unbundling (LLU) has allowed providers like Tiscali (now owned by TalkTalk), TalkTalk (www.TalkTalk.co.uk) and Sky (www.Sky.com) to offer cheap broadband and even ‘free’ broadband or line rental, undercutting competitors like BT and Virgin Media (www.VirginMedia.com), whose prices are not as competitive.
Ofcom’s Telecommunications Market Data Tables show that by Q2 this year the UK had 2,432,000 LLU lines, but LLU has since passed the three million mark with 72 per cent of households now connected to an unbundled exchange.
Michael Phillips, BroadbandChoices.co.uk product director, said: “With so many people already connected to the internet at home, the pool of new broadband customers is drying up.
“This is heating up the competition as providers try to tempt existing broadband users away from competitors with cheaper prices and special offers such as ‘free’ line rental, ‘free’ broadband and even ‘free’ laptops.
“However, I would advise anyone interested in an offer like this to think carefully before signing up. Consider the standard of such a cheap service and the length of time you’ll be tied into that contract,” he concluded.
Related article - LLU broadband migration.