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In a recent article, I discussed the move by BTs Openreach to lower the cost of wholesale broadband. The article also touched on the problems BT faces with its CEO and ongoing issues with its pricing policy.
FTTP is preferred over copper wires or fibre-to-the-cabinet
If you are looking to build a new house, or to replace old copper wiring in your home, you may have already heard the term Fibre To The Premises (FTTP). This refers to a system where fibre optic cable is installed to connect the inside of a home or business to the internet.
Compared to other technologies, FTTH delivers faster and lower latency, so you can enjoy a better user experience. It also reduces related losses.
There are many different types of FTTH. You can choose between a hybrid fibre-coaxial (HFC) or fibre-to-the-building (FTTB) architecture. These systems can deliver download speeds of up to 1 Gbps. However, fibre to the building has a shorter deployment period and is only preferred for new developments.
A hybrid FTTH system is one that uses both copper wireline infrastructure and fibre. This type of service is most common in the United Kingdom. While it is available in almost half of the nation’s homes, the rollout is limited by the number of homes that need it.
BT’s plans to move from copper wires to fibre optic cables
Openreach, the BT subsidiary responsible for broadband provision, has announced plans to make the move from copper wires to fibre optic cables. The new system will offer faster speeds and improved reliability, according to the company.
The project is designed to be a greener, more efficient alternative to copper lines, which have been around for a long time. It is a small part of a much larger effort to overhaul the UK’s aging communication infrastructure.
While the switch to fibre optic cables may not happen overnight, it is not impossible. The installation may require digging up roads or erecting poles, but it can be done without closing streets.
As part of the plan, Openreach will replace 14 million analogue telephone lines with a digital all-internet protocol. There are three main types of fibre optic lines. One, FTTC, is fibre to the cabinet. Another, FTTP, is fibre to the premises, which gives consistently faster broadband speeds than regular copper wires. Fibre broadband deals starthttps://broadband.deals/fibre-optic-broadband-deals at £15 a month.
However, while the copper wire telephone network will eventually be retired, many businesses are still reliant on this service. For example, some retail stores still rely on ISDN internet and old-fashioned landline phones.
Trouble at the top?
BT’s Global Services unit has been under review since October 2022. The business is responsible for providing IT services for business customers. It was a major driver of growth at BT in recent years, but the company warned that its profits would be hit by the weak performance.
The cost-of-living crisis is driving up monthly bills for BT’s customers too. Fortunately, some broadband providers are offering bespoke deals to cut costs.
For example, BT and Vodafone have launched social tariffs to help people in need. These deals are expected to save millions of householders some money. EE, meanwhile, recently launched a social mobile tariff, EE Basics. Switching either your broadband provider or your mobile phone provider should be easy.
BT’s CEO has ongoing problems
When BT’s chief executive Philip Jansen called a meeting with culture secretary Nadine Dorries, a spokesman for the Communication Workers Union (CWU) described the call as a “complete embarrassment”. He said Jansen had been given £3.5 million in compensation for leaving a job that he had spent five years bringing up from the “barrenness of the early 1990s”.
The company has been under pressure for several years to address problems with its wholesale broadband network. Several UK mobile operators depend on BT’s Openreach network to carry their services. However, it has been falling behind its rivals in the broadband market, which could put Britain’s competitive edge at risk.
Ofcom is reviewing its policy towards BT, particularly about the company’s obligations to final salary pension holders. A spokesman for BT confirmed that the firm is looking at ways of achieving a more liberal framework for pricing.
