Bulldog to extend reach of unbundled broadband
By Tim Richardson
Published Thursday 21st April 2005 10:08 GMT
Cable & Wireless is looking to go head-to-head with BT after
announcing plans to extend the reach of its broadband service to a
third of the UK. Through its Bulldog subsidiary, C&W has already
installed its gear in 320 BT exchanges as part of its local loop
unbundling (LLU) plans and expects to have 400 up and running by the
end of May - seven months ahead of schedule.
The broadband provider is currently weighing up demand for its own
unbundled services and is mulling the idea of an "extended roll out
that would take our market coverage beyond 30 per cent," C&W said
yesterday.
While investment in broadband is to be welcomed it does raise concerns
that the UK will be hit by a new digital divide brought on by telcos
cherry picking the most lucrative urban areas. While major towns and
cities will be spoilt for choice for low cost, high speed innovative
services, the rest of the UK will have to put up with whatever BT can
cobble together.
News of Bulldog's plans to provide high speed telecoms services
directly to consumers while cutting BT out of the loop came as its
parent, C&W, announced plans to invest £190m over the next three years
in its Next Generation Network (NGN).
The overhaul of its core UK network should transform its existing five
separate networks into one IP service platform. Not only would this be
able to support whizzy broadband services it should also come on line
before BT's own 21st Century Network.
For C&W, it should make the telco more competitive and reduce costs by
£50m.
Said C&W boss Francesco Caio: "The rapid advance in IP technologies
provide the opportunity for Cable & Wireless to lead the
transformation of the UK telecom industry with the creation of a new
model of telecom operator, where strong focus on customer needs and
the development of new services is supported by a broadband access
network and an IP core.
"The shift to Next Generation Networks together with our investment in
local loop unbundling/broadband will further differentiate us from
other UK operators," he said.
