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Ofcom Rural Broadband announcement proves Ofcom are toothless or clueless...
Ofcom Rural Broadband announcement proves Ofcom are toothless or clueless according to Wispa Limited
Wispa Limited COO reacts vehemently to today's claims by Ofcom that a 12% reduction in wholesale pricing forced on BT for Market 1 exchange areas will reduce rural broadband costs
FOR IMMEDIATE RELEASE
(Free-Press-Release.com) July 20, 2011 --
Today's announcement by Ofcom claims to be bringing cost reductions to millions of rural broadband users across the UK. Richard Brown, COO at Wispa Limited is absolutely clear that this demonstrates that:
"Ofcom are either clueless, witless or toothless - it's difficult to make my mind up as to which it is"
According to the Press Release issued by Ofcom:
Ofcom Rural Broadband announcement proves Ofcom are toothless or clueless according to Wispa Limited
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http://wispa.me Ofcom expects the reduction to incentivise ISPs to invest in and launch their own networks in more rural areas and help them compete with BT Wholesale. And given that ADSL 2+ will be exempt from the charge controls, it’s thought that this should encourage BT Wholesale to invest in this new technology and upgrade its own services too.
This is so far away from the truth as to make a total mockery of Ofcoms efforts.
1. A reduction in the wholesale pricing of 10-12% has just given BT less reason to invest in rural communities due to constantly diminishing returns on invest
result? rural broadband is worse off today than yesterday
2. A reduction in wholesale bandwidth costs of around 10% is not a reduction in cost to resellers and agents of 10% as wholesale bandwidth makes up a very small proportion of the cost to deliver rural broadband
result? rural broadband is no better off today than yesterday
3. Ofcoms claim that rural broadband will be cheaper for millions of rural customers will actually increase the discontent within the subscriber base when it doesn't happen
result? companies find it harder to maintain customer satisfaction and rural broadband is worse off today than yesterday
"Ofcom seem to be going out of their way to prove that they are not fit for purpose," explained Brown "this announcement, couched in the way that it has been, just demonstrates the total lack of understanding that this body has of a market it is supposed to be the independent governing body for."
Ofcom, it would appear, have no real understanding of how to generate competition in the market place and indeed today's announcement has only served to damage the hopes and aspirations of rural providers and subscribers across the UK.
Bravo Ofcom.
More information can be found online at http://wispa.me
ADSL broadband OFCOM ofcom broadband rural adsl rural broadband wispa wispa limited
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