Broadband Bulletin Issue 1 - November 2005
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BBW News
The Broadband Wales Programme (BBW) is working hard to ensure
that access to affordable broadband is a reality across
Wales.
The multimillion pound Welsh Assembly Government initiative,
established in July 2002, includes projects delivered with the
support of partners from across the private, public and voluntary
sector.
The Programme is committed to stimulating demand for broadband
whilst encouraging further investment in the infrastructure. The
aim is to enrich our lives, encourage growth and support the
economic prosperity of the nation.
Following a strategic review the programme targets were
updated in January 2005.
BBWO monitors the
progress made against each of BBW strategic targets and benchmarks
the broadband market in Wales against other country markets..
Visit the BBWO website to read the BBW Strategy for 2005-2007
plus the latest quarterly review report
www.bbwo.org.uk
Visit the Broadband Wales Programme website for information on
the benefits that broadband can bring for you
Regional Innovative Broadband
Support Project
First generation broadband services (between
512Kbps and 2Mbps downstream and between 256kbps and 512kbps
upstream) are now widely available in the UK and Wales.
The Regional Innovative Broadband Support
(RIBS) Project is designed to bring broadband to areas of Wales
that still can not access broadband; including the 35 exchange
areas deemed to be commercially 'unviable'.
The open procurement process began in June
2005 and included an advertisement in the Official Journal of the
European Union (OJEU). The Contract, to provide a broadband
service, is to be awarded to the successful supplier and further
details will be announced in a future bulletin.
Broadband for Life
Video
The Broadband Wales Programme has produced two
broadcast-quality Broadband for Life videos. The videos highlight
the benefits of broadband to consumers and businesses and, as such,
are aimed at those unsure whether to subscribe to a broadband
service.
Both videos are available in DVD format and, along with the
Broadband Made Simple series of booklets, are ideal for use in
events and conferences.
Visit the Broadband for Life website to view online or
download narrowband and broadband versions of the video
www.broadbandforlife.com
To order copies, contact BBWO at
Get Smart: Get
Broadband
The Broadband Wales Taskforce has been issued with Smart cars
kitted out to demonstrate the benefits of broadband to people all
around Wales. They are on the road now.
Broadband
Initiatives
South of Scotland Broadband
Pathfinder Project
Details of the South of Scotland Broadband Pathfinder Project
have been published in the Official Journal of the European Union
(OJEU). The £27million project aims to provide schools,
libraries and council offices with 8Mbps broadband.
The initiative is public sector funded and backed by Dumfries
and Galloway Council and Scottish Borders Council. Contracts are
expected to be awarded by mid 2006; with the network available in
the targeted locations within two years.
Visit the Dumfries and Galloway Council website for more
details
Regulatory Round-up
BT operational separation to herald
a new regulatory approach from Ofcom
The Ofcom Board have accepted more than 230 legally-binding
undertakings from the board of BT Group plc. The agreement will
create a new regulatory approach to the access infrastructure
operated by BT in the UK.
BT has formally established its new access services business,
Openreach, which will be responsible for the "first mile" of wires
that connects homes and businesses to BT exchanges across the
UK.
Ofcom Chief Executive Stephen Carter said: "After a full year
of detailed consultation, Ofcom has accepted BT's commitments. The
new management of Openreach and the Equality of Access Board must
now deliver - and be seen to deliver."
He added: "Ofcom is hopeful that this new approach to
competition regulation will stimulate investment, innovation and
sustainable growth in this critical industrial sector."
Visit the Ofcom website for more details including the
original report
www.ofcom.org.uk/
Openreach
will "ensure allservice providers
have equal access to local BT network"
Openreach will be operational from January 2006 and will be
responsible for 120 million kilometres of copper cables.
The business will be managed by Steve Robertson who was
previously with Colt Telecommunications before joining BT Wholesale
in October 2002.
BT chief executive Ben Verwaayen announced: "This settlement
is a defining moment for the industry and BT is totally committed
to it. It offers a fresh start and means that companies will be
able to focus entirely on their customers without being
distracted by micro-regulation."
Visit the BT website for more details including the original
report
Policy Piece
The Rt. Hon Alun Michael MP called on "business, civil
society, governments and others to take forward the i2010 Strategy
and to take it seriously"
As a keynote speaker at the i2010 UK conference in London on 6
September 2005, the Minister for Industry and the Regions spoke of
the importance of identifying and agreeing on the actions required
to deliver the i2010 objectives.
Rt Hon Alun Michael MP
The Labour and Co-operative MP for Cardiff South and Penarth
was one of five keynote speakers, the others were Viviane Reding
(European Commissioner for Information Society and Media), Dr Daeje
Chin (Minister for Information and Communication, Republic of
Korea), Arun Sarin (CEO, Vodafone) and Ben Verwaayen
(CEO, BT).

The i2010 Strategy is intended to make Europe "the
most competitive and dynamic knowledge-based economy in the world"
by 2010. The strategy is a response to the challenges faced
by Europe in 2005, such as competition from the US and Asia.
The UK conference was the main ICT strategy event taking place
during the UK's Presidency of the EU. The conference presented a
key opportunity for governments and business from across the EU to
actively contribute to defining the i2010 Strategy that will help
the EU move forward.
The conference was attended by over 350 participants,
representing all 25 EU countries as well as a number of other
countries, including South Korea, Japan and Switzerland.
Over 40% of participants represented non-government
interests.
Visit the DTI's i2010 website full transcripts of the key note
speeches and the plenary and work stream sessions
www.i2010.org.uk
Technology Trawl
The broadband market is dynamic and fast moving, and we are
currently in a transition period where the focus is moving from the
urban/rural divide that affected the availability of first
generation broadband services, but which is increasingly less of a
problem.
The next generation of broadband services are becoming
available in the UK and we are seeing market consolidation as
companies position themselves to offer faster broadband.
BT has also announced plans to replace its entire PSTN based
network with an IP-based "21st Century" network beginning with
350,000 customer lines in Cardiff and the surrounding areas during
the second half of 2006.
BT Group chief technology officer Matt Bross said: "This
rollout will be the first time anywhere in the world that customers
will have communications services provided over such a radical next
generation network."
BT is commencing commercial trials in November 2005 of its
ADSL broadband Max service which will deliver speeds of up to
8Mbps. Service providers have been formally invited by BT
Wholesale to take part in the trial which will take place in 25
exchanges across the UK.
In Wales the trial exchanges are Llandaff, Llanishen, Radyr
and Rhoose.
BT intends to roll-out this service UK-wide in the Spring of
2006. This will allow ISPs to offer an 8Mbps service without
the need to 'unbundle' the exchange.
Visit the BT website for more details
Meanwhile, Local Loop Unbundling (LLU) has enabled Bulldog
(part of Cable and Wireless) to offer up to 8Mbps broadband
services in Cardiff and Wrexham since the summer of 2005.
Visit Bulldog's website for a full list of exchanges
Several companies are trialling services of up to 24Mbps in
England using ADSL 2+. BBWO will report in future bulletins on any
news of such services coming to Wales. UK Online (part of
Easynet) has been conducting 24Mbps trials since March 2005.
Be Un Limited ("Be") are also taking registrations for 24Mbps
services in England.
Visit the Be website for more details
One factor for the additional speed requirement is the desire
to claim a stake in the fast growing 'triple play' space (TV, PC
and telephone) ahead of analogue TV services being turned off from
2008.
Digital TV can be accessed through satellite, cable, through
an aerial (Freeview) and through a phone line. Digital TV
services through a phone line are not currently available in
Wales.
Culture Secretary Tessa Jowell has announced that the digital
switchover will take place in Wales in 2009.
British Sky Broadcasting (BSkyB) operate the Sky satellite
platform which carries over 535 channels and has nearly 8 million
subscribers in the UK and Ireland. BSkyB announced on the
21st October a cash offer for internet provider
Easynet. This will enable them to offer additional internet
and telephone services through the phone line, to make them a
"triple play" business.
NTL and Telewest, the UK's cable companies, already offer
"triple play" services. They have nearly 2.5 million broadband
subscribers in the UK and have both launched Video On Demand
services. NTL operates in parts of Wales but Telewest does
not. A merger between the two companies has been announced
for early 2006.
NTL has announced 10Mbps will become their standard speed for
cable broadband customers by the end of 2006 - with speeds of up to
50Mbps possible for the future.
Visit the NTL website for more details
ZDNet UK have reported that Telewest is aiming to launch a
100Mbps service in 2007.
Voice Over IP (VOIP) is increasingly available to broadband
users in Wales from a range of companies including Microsoft,
Google, BT, Pipex and Skype.
Skype, a VOIP company, was recently acquired by Ebay for €2.1
billion.
Market Watch
The Office of National Statistics (ONS) Internet Connectivity
report shows that, by August 2005, broadband connections made up
55.7% of all internet connections in the UK with dial-up
connections accounting for the remaining 44.3%.
Broadband connections overtook dial-up connections for the
first time in May 2005. The market share held by dial-up
connections has declined since it peaked in February 2002 - as
broadband has grown in popularity and availability.
Figures released by the Organisation for Economic Co-operation
and Development (OECD) show that in June 2005 the UK was ranked in
13th place out of 30 member countries with 13.5
broadband subscribers per 100 inhabitants.
This is an improvement from December 2004 when the UK was
ranked in 14th place with 10.5 broadband subscribers per
100 inhabitants chart.
Korea maintains its lead in OECD broadband penetration with
25.5 subscribers per 100 inhabitants. The Netherlands is in
second place at 22.5.
Similarly, the Ofcom Communications Market Quarterly Update
reported that "broadband continues to be the lead story in the
telecoms sector". The report showed that by June 2005 there were
8.1million broadband connections in the UK with market share split
between cable companies (28%), BT DSL connections (25%) and BT's
competitor DSL ISPs (47%).

Point Topic's World Broadband Statistics for mid-2005 show
that Europe is pushing to take over the leadership of broadband
growth, with Russia and India also starting to make significant
appearances on the broadband scene.
Visit the Broadband Stakeholder Group (BSG) website for more
details