Are ISPs the problem or the solution to getting broader broadband?

We need fast broadband, and we need it everywhere. But is it harder to do with one company controlling a third of the market?

One of the most exciting things about growing a business in the 21st Century is that thanks to the Internet, you have the ability to reach an infinite audience. In the UK we're particularly good at it. We generate 8 per cent of our GDP, £120 billion, through the Internet.

But of course, to start a business on the Internet, you need have to have access to it first. That's why the Lords Communications Committee report into the Government's plans for Superfast Broadband has struck a chord with so many. Current Government plans are to install 25Mbps high speed broadband across 90 per cent of the UK and a minimum of 2Mbps broadband for everyone by 2015. They hope to achieve this through the Broadband Delivery UK (BDUK) Project. But the Committee's report argues that Government is too focussed on speed, and it needs to change its focus from a 'high-speed' network to a 'high-spec' network. A core part of the concern is the affect the project, and the way it has been run, will have on competition in broadband provision.

According to Ofcom's figures the market is currently split between four key players BT (29.3 per cent), Virgin Media (20.2 per cent), TalkTalk (18.5 per cent), Sky (17.9 per cent) and the rest split up between smaller providers (14.2 per cent). But there are concerns, both at home and from the European Commission, that the BDUK project will serve to exacerbate BT's dominance in the market. Currently only BT is the only provider that has successfully bid for regional funding as part of BDUK, with the nine other interested parties withdrawing due to concerns over costs and the complication involved in providing fibre connections.

The problem of providing ensuring competition in the broadband market is by no means easy, particularly with the historical position of BT. Many other countries across the world are coming face to face with the sheer cost required to invest in this technology, versus the need for competition. As suggested by the Lords report there are a number of changes that could be made to the BDUK project to improve this, including potential open access fibre-optic hubs and public money only being awarded should be dependent on installing fibre to a local level rather than to the cabinet. They also propose "fibre hubs", which would allow neighbourhoods who set up their own networks to retain control rather than being required to hand ownership to BT and could connect the BT exchanges at a set price.

Apart from changes to the BDUK project there are other measures that could be taken to encourage competition that do not involve additional funding to the BDUK project. Ofcom has done good work in getting BT to reduce the cost of wholesale broadband and allow other ISPs access to its local exchanges in areas where BT is the sole provider, and ideally the cost would be reduced further. The Government can also, in light of its goals to deliver a better broadband, reconsider its decision from 2010 to scrap the review into the fibre tax which disadvantages other providers who must pay per metre of "dark fibre" to be lit.

Providing good competition to allow consumer choice is not just important for levels of service, speed and reliability as there are a number of wider issues that mean competition is increasingly important. Running parallel to the discussion over investment in broadband infrastructure we have the net neutrality debate. After many months of discussion ISPs have recently signed up to a voluntary “Open Internet Code of Practice”, which commits to them to providing full and open internet access and not block access to legal services which are bandwidth heavy, such as iPlayer or 4OD in the name of traffic management.

Most of the ISPs operating in the UK have signed up, including the dominant provider BT. Unfortunately Virgin Media, the second largest provider have not, citing issues with the wording of the code. The implementation of a voluntary code of practice relies upon consumers having real choice in their broadband connection, and the option to leave their provider if they do not comply with the code. Were the BDUK project to endanger future prospects for increased competition this would undermine the provision of an open internet.

And increasingly ISPs are being asked to take on more and more issues. While we want them to focus on providing us the best provision ISPs are currently being asked to look into; enforcing the Digital Economy Act and policing Internet users through a system of reports and warning letters; cooperate with the Government consultation looking into implementing 'default on' blocks for adult content; cooperate with the Home Office plans as part of the Communications Data Bill; and all while trying to put into place a better network for their customers who pay them for reliable access and good speeds.

We need to ensure that the UK has good enough Internet infrastructure to support our ambitions and not only compete with Europe, but with the world. The Government needs to decide where ISPs priorities should lie and consider whether it truly wants a broadband network fit for the future.

Sara Kelly is the Policy and Development Manager for the Coalition for a Digital Economy.

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It's Gary Lineker 1, the Sun 0

The football hero has found himself at the heart of a Twitter storm over the refugee children debate.

The Mole wonders what sort of topsy-turvy universe we now live in where Gary Lineker is suddenly being called a “political activist” by a Conservative MP? Our favourite big-eared football pundit has found himself in a war of words with the Sun newspaper after wading into the controversy over the age of the refugee children granted entry into Britain from Calais.

Pictures published earlier this week in the right-wing press prompted speculation over the migrants' “true age”, and a Tory MP even went as far as suggesting that these children should have their age verified by dental X-rays. All of which leaves your poor Mole with a deeply furrowed brow. But luckily the British Dental Association was on hand to condemn the idea as unethical, inaccurate and inappropriate. Phew. Thank God for dentists.

Back to old Big Ears, sorry, Saint Gary, who on Wednesday tweeted his outrage over the Murdoch-owned newspaper’s scaremongering coverage of the story. He smacked down the ex-English Defence League leader, Tommy Robinson, in a single tweet, calling him a “racist idiot”, and went on to defend his right to express his opinions freely on his feed.

The Sun hit back in traditional form, calling for Lineker to be ousted from his job as host of the BBC’s Match of the Day. The headline they chose? “Out on his ears”, of course, referring to the sporting hero’s most notable assets. In the article, the tabloid lays into Lineker, branding him a “leftie luvvie” and “jug-eared”. The article attacked him for describing those querying the age of the young migrants as “hideously racist” and suggested he had breached BBC guidelines on impartiality.

All of which has prompted calls for a boycott of the Sun and an outpouring of support for Lineker on Twitter. His fellow football hero Stan Collymore waded in, tweeting that he was on “Team Lineker”. Leading the charge against the Murdoch-owned title was the close ally of Labour leader Jeremy Corbyn and former Channel 4 News economics editor, Paul Mason, who tweeted:

Lineker, who is not accustomed to finding himself at the centre of such highly politicised arguments on social media, responded with typical good humour, saying he had received a bit of a “spanking”.

All of which leaves the Mole with renewed respect for Lineker and an uncharacteristic desire to watch this weekend’s Match of the Day to see if any trace of his new activist persona might surface.


I'm a mole, innit.