BT announces plans to reduce wholesale FTTP prices

6 Dec 2012

British fixed line incumbent BT has announced that it is cutting the wholesale rental price for its 330Mbps fibre-to-the-premises (FTTP) service by 37%. With the service currently costing communications providers (CPs) GBP60 (USD97 per month), BT has confirmed that from June 2013 the price will drop to GBP38 per month.

Alongside this, the telco has revealed that the lower price will also apply to its yet-to-launch ‘FTTP-on-Demand’ (FoD) service, which it aims to make available in ‘spring 2013’. As noted in TeleGeography’s GlobalComms Database, the solution allows additional fibre to be run on demand to a home or business in a fibre-to-the-cabinet-enabled (FTTC-enabled) area, providing the customer with an FTTP connection, with BT claiming that the product ‘takes advantage of the fibre it has already deployed between the exchange and the street cabinet’. In making the announcement, BT confirmed that CPs will be charged a distance-based construction charge for FoD ‘due to the extra work involved in providing a direct fibre connection’, though the charges themselves are currently being finalised and will be released closer to the launch of the service, and once trials have been concluded.

Mike Galvin, managing director for network investment at BT’s infrastructure arm, Openreach, said: ‘Our fibre plans are going very well. Our deployment is one of the fastest in the world and our services are proving very popular with the public … It is now time for us to focus further on FTTP and I am pleased to say that we are making it more affordable than ever. I am sure that small businesses will welcome this major price cut and I am also sure that our fibre on demand plans will be of great interest.’

United Kingdom, BT Group (incl. Openreach)