Call for broadband cash
BSG praises progress made with broadband networks but warns against complacency
The Broadband Stakeholder Group (BSG) has called for more investment in broadband networks - a move that would allow resellers to cash in on a larger customer base.
In its third annual report the BSG said "significant progress" had been made to date, but warned against complacency. "We have made good progress but this is not the end, rather it is the end of the beginning," said Antony Walker, chief executive of the BSG.
ISPs such as Easynet are encouraging resellers to drive exchange activation and consultancy firms such as Analysys are working to activate some rural broadband exchanges by signing up businesses.
However, industry watchers have said that milestones must be reached before the end of the decade. Developing content and applications will make broadband services worthwhile and allow resellers to cash in on the upsell opportunities.
Walker said the regulatory and policy framework has to be right to encourage investment.
A report submitted to Ofcom by Cable & Wireless (C&W) said decisive regulatory change was needed, claiming that broadband regulatory barriers had cost the UK as much as £20bn in productivity. C&W also wants equal access to BT's upstream network for all operators, and an end to price discrimination against BT's competitors.
"Ofcom has a difficult job and a huge responsibility to get the right balance," said Walker.
BT also said it would be raising the issue of regulation with Ofcom. "It is also the case that broadband services are getting faster and so new networks will have to be built to support the services of the future," said BT's chief broadband officer, Alison Ritchie.
"These networks require huge investment from key players such as BT, and so it is critical that regulation encourages that investment."