Addition of New broadband customers by BT and Sky

July 31, 2009

According to the recent financial results, both Sky and BT broadband have extended their customer base. About 118,000 new broadband customers are added by Sky Broadband even in the time of economic slowdown. However this is relatively less when compared to the fingers of the previous quarters. With this, ISP has 2.2 million broadband customers of which represented 23 per cent of its total customer base. On the other hand Sky added 244,000 line rental customers and Sky Talk customers.

One of the triple play bundles from Sky is taken up by 16% of its customers. It was 11% the previous year. Sky looks forward to transfer more customers to its local loop unbundled (LLU) network.

Chief executive of Sky Jeremy Darroch said that they continue to be the fastest growing provider of broadband and home phone services in the UK. One out of six customers picks Sky for TV, broadband and talk. There are a number of opportunities for the future growth, he added.

In the meantime 78,000 new broadband customers were added by BT broadband which is less when compared to the fingers of Sky. However with their 4.8 million total broadband base BT retains its position as the largest broadband provider in the UK. CEO of BT, Ian Livingston commented that they made a good start in the year despite of the demanding trading circumstances.

On the other hand, ISP’s digital TV service BT Vision adds 38,000 customers in the three months to 30 June. They had total customers of 433,000 even after adjusting for inactive customers.  In comparison with cheap broadband rival TalkTalk Broadband, both companies have added more new customers, regardless of the economic slowdown. TalkTalk Broadband, cheap broadband has announced 47,000 customers earlier this week adding to a 2.85 million customers to its total broadband base. The results excluded figures for Tiscali Broadband which TalkTalk has bought earlier this year.

Costly penalties for Mobile broadband users

July 30, 2009

Many mobile users face rigid penalties if they exceed their download limits, although many users are unaware of their download allowances. New research found that three out of four mobile broadband customers were required to pay additional charges. On the other hand almost 24 per cent didn’t realize if they had a download limit.

Few knew that there was a limit to how much they could download monthly, however, 54 per cent didn’t know their download limit. The study also notified that the penalties for exceeding the download limits will be increased with O2 mobile broadband charging £200 per extra GB and 3 Broadband were charging £100.

3 Broadband disconnects the services as soon as the additional usage touches £50 and these companies text its users before they touch their limit. At the same time Virgin Media, Vodafone Broadband and Orange Mobile Broadband charges £15 per extra GB.

The only mobile broadband provider to provide fair usage policy on its packages is T-Mobile Broadband. Although customers will not have to pay penalties for additional download allowance, their service will be reduced and will be advised to upgrade to a better package.

Drop in UK broadband customer complaints

July 28, 2009

According to the figures published by Consumer Direct, a government-funded advice service, the broadband consumer complaints have dropped by more than a third. Customer complaints regarding internet service providers (ISPs) have fallen during 2009.

When compared to the previous years figures, the complaints from January to the end of June was 16.8 per cent down, which was numbered to 6,256 cases according to the Statistics report for the year so far.

In the ‘top ten’ list of customer complaints, internet companies fell three places below.  On the other hand the most customer complaints were received by independent second hand dealers, totaling up to 24,672 cases.

Kevin Brennan, Consumer minister spoke during the launch of Government’s Business Link website that gave customers a new way to see consumer right. He said that they desire to empower consumers so that they will be more confident about their rights when purchasing goods and services from shops as well as from internet. It is good for the business to receive few complaints, he added. He said that this was the reason to work with Know Your Consumer Rights Campaign and this will encourage customers to improve their customer rights.

2.85m customers for TalkTalk

July 25, 2009

Carphone Warehouse’s quarterly revenue results were released this week which gave an insight into the health of TalkTalk and its dedicated broadband business.

It disclosed the introduction of 47,000 new broadband customers within four months period and at the same time it promised the onlookers that its broadband business was on the right path and would reach to its expectations. In the last quarter, 74,000 new customers were added and at the same time it was 36,000 in the quarter before that. Customers increased at five percent and this was mainly due to influence of additional package offered by TalkTalk which included call packages, increased download speed and computer security features.

Charles Dunstone, chief executive at Carphone said that the broadband business’s position was stirred up by its position at the “value end of the market” through out the uncertain financial climate. He added that TalkTalk Group was going well with their expectations. In the quarter, they have migrated 59,000 customers onto their networks and currently on their unbundled networks they have about 79 per cent of all their broadband customers. This has given them their superior economics. According to him, TalkTalk’s enhanced customer service and leading value plans continue to vibrate in the present market and the churn has considerably reduced annually and stays low.

Although the provided figures did not include the latest acquisition of Tiscali UK as it did not take place inside the interim period.

Fast internet access in the UK

July 24, 2009

Head of the department of sociology at City University London, Professor Frank Webster, spoke on the topic ‘Broadband for All’ at the Westminster eForum keynote seminar. The discussion was about the various goals set by Digital Britain report for providing fast broadband access in the UK.

The seminar offered solutions for the problems connected to offering minimum of two-megabit for the country. When Professor Webster was asked concerning the mobile phones, he said that like any other things, they have filtered down to all areas of the society and through an advanced television set, the digital services does the same. He also added that it was entertainment-led and it in not necessary to create a huff about it.
At first more affluent people will benefit swiftly they will pervade down to the mainstream of people and soon many people can have access to the digital highway.

His comments trail a survey published by Ofcom last month, which finds out that the main reason for not having a broadband or internet connection was that the user lacked a computer.

The research also found out that one fifth of the people who are still not connected to the community, plan to get connected in the next six months. These consisted of younger customers who used internet outside their home. People go online at local library or internet café as they find suitable deals at cheaper prices there.

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