Earlier this month an article lay bare the cost of connecting a mobile worker, suggesting the way we consume data has changed and that professionals now have a number of connectivity strategies up their sleeve. From cellular phones to free Wi-Fi spots, this need for new avenues comes as businesses tire of the broadband waiting game.
But it’s safe to say free Wi-Fi spots come with limitations, so everything really hinges on what price you are willing to pay for a service that’s both reliable and superfast. This wasA point made clear by thinkbroadband.com editor Andrew Ferguson also known as Doctor Broadband.
He talked to Real Business about the government’s BDUK plan and how the waiting game has caused critical responses from companies to come to the forefront of the broadband debate.
1) ?What do you feel about the state of UK broadband
When one takes a dispassionate overview of the state of UK broadband it is actually in a fairly healthy state and ultrafast speeds of 200Mbps and faster are becoming more widely available. Alas, many feel increasingly abandoned as more and more areas see improvements.
2) How do you feel the service could be improved
Improvements are always possible, even if we reach the point where everyone has access to a 100Mbps connection some will want faster still.
Service standards have tended to suffer in the last few years, and this may partly be down to the change from Internet access being a nice accessory to becoming an essential part of many peoples lives and business operations. There may need to be some give and take for the next couple of years?before the waiting game finally comes to an end. For example, delivering faster fault resolution may mean?more investment in technology and extra staff, which could increase overall?prices.
3) Where does the UK stand in comparison to other countries?
We are still well behind countries like South Korea, but ahead of major European countries. Some smaller European countries have better coverage levels of technology by Fibre to the Home and Fibre to the Building, but often adoption and the impact on the economy is behind the UK. While the UK patchwork of solutions and competing providers is not as ideal as some parts of Europe, as a nation we do very well at using broadband for both business and e-commerce.
4) How do you think the government’s BDUK plan will impact UK businesses?
When it comes to?large businesses, staff will be able to work from home more successfully. For SMEs there is still a price gap between the entry level business connectivity and full leased line with guaranteed capacity, but this is changing as more competition in the towns and cities arrives. For small business operating in distinctly rural areas things are much more patchy, but looking at the various national broadband plans for many of our competitors this is not unusual. The difference is that in the UK there are lots of bodies ensuring the rural business voice is not forgotten.
The current BDUK plan and contracts should see 95?per cent superfast broadband coverage in mid to late 2017, and with re-investment of money released by the increasing levels of take-up we might subsequently see this rise to 96-07?per cent nationally. Of course while the standard superfast connections may not be suitable for every business, the variety of connectivity available is making it easier for businesses to relocate to the ideal location, in a similar way to how companies have to relocate as the number of staff expands.
Find out Ferguson’s thoughts on where using broadband comes with ease
Image: Shutterstock
5) What is the progress of BDUK’s?roll out?
We’ve all played the waiting game: the UK hit its 90?per cent mark some months later than originally hoped for back in April 2016, while the original ambition announced years earlier had been to hit it in time for the 2015 general election. Nonetheless, for a major infrastructure project that is a mixture of public and private the April 2016 date is still a worthy achievement and unlike many government projects there has not been costly overruns. In fact a lot of the arguments have been that the project is proving cheaper than expected and that more should be delivered.
Generally each month sees an extra 0.3 to 0.4?per cent of UK premises getting access to superfast broadband, and for those where speeds of 30 to 76Mbps are not enough we are seeing ultrafast broadband coverage (minimum speed 100Mbps) increasing by around 0.1?per cent a month. Announcements from Virgin Media, Openreach and others means we expect the level of ultrafast coverage to rise rapidly in the next few years, reaching 65 to 70?per cent in two?to three years. Of course the ultimate business connection of a leased line is much more widely available, but this comes with the high install cost of a custom installation and large monthly bills.
6) Where do you think are the areas where using broadband comes with ease and where would people struggle to pick up signal?
Everything hinges on what price you are willing to pay. If you’re going to?pay £1,500 to £2,000 each month for a reliable broadband connection then you are are able to play the waiting game when it comes to fibre installation in your location. But for the more sensible pricing of £30 to ?60 each month then London still rules the bunch, even with the issues of patchy availability in the capitalAnd Rotherhithe (new entrants like Venus, Hyperoptic and others are improving things rapidly in those areas). Some of the changes are down to the realisation among developers and building owners that bosses are starting to place value on having broadband from day one in a new office.
Outside of London the story is pretty much the same as there are always going to be areas with limited reasonable broadband options. This means while we could say the West Midlands looks a safe bet with 92.2 per cent superfast coverage and 61.9?per cent availability of ultrafast broadband, the devil is in the detail you can look at one office and the next door building may not have it available, or have less choice of providers. Broadband availability is often seen as only applying to those who live and work miles from urban areas, but as projects continue to improve coverage there are always some areas left playing the waiting game and it is this waiting and uncertainty that drives a lot of the critical responses to what is happening with broadband in the UK.
The moral for broadband coverage is to never just assume because you are in an urban area that good broadband is assured, and similarly in rural areas there are increasing numbers of premises both residential and business with access to 300Mbps and 1,000Mbps connections (e.g. Openreach FTTP and Gigaclear FTTP). There are also providers who will work with groups of businesses and business parks to improve connectivity even if existing BDUK projects need to be bypassed.
The proposed 10Mbps Universal Service Obligation (USO) is designed as a safety net and while it is ahead in terms of the minimum speed compared to many European neighbours for a business where Internet access is crucial to day to day business they may still struggle with 10Mbps. So while the USO is on its slow way into law do not rely on it to solve business broadband issues, i.e. it may make better business sense to relocate to a better served area or bite the bullet cost wise and get something installed now rather than wait a few years.
This article is part of our Real Business Broadband campaign, which seeks to provide a mouthpiece for business leaders to vocalise the broadband issues preventing their businesses from reaching full potential. We d love to hear your take on the debate and where you think the UK needs to make drastic changes. Get in touch via email ([email protected]) or join in on the action using #rbBroadband.
