Ofcom consultation on the USO

OFCOM have issued a new consultation on the Broadband USO.

This one is all about how they designate the operator(s) across the country. The consultation on the actual designations will occur later in the year


There are a couple of interesting points in Section 2.18 point 2.
"No provider (other than BT) has indicated that it would be prepared to be designated on a national basis"

And

"if we were to conduct an auction on a sub-national basis, there is only one Local Authority in which we have received more than two expressions of interest, while large areas of the country have attracted no expressions of interest."

Rest is fairly dry with only one question.
"Do you agree with our proposed approach to designating a Universal Service Provider? "

Also see this article & discussion on ISP Review: https://www.ispreview.co.uk/index.php/2018/09/five-i...

Some people in the comments section of that article brought my attention to the responses from potential USO providers, which can be found here: https://www.ofcom.org.uk/consultations-and-statement...

Note that in BT's response (BT's Response - PDF File), 4G LTE plays the prominent role for their USO proposal.

How would the USO of 10 Mbps work in Scotland since the Scot Gov't has its own 'Reach 100%' programme (R100) with min speeds of 30 Mbps planned for all?

Edited by deleted (Sat 15-Sep-18 12:11:55)

Given launch date of USO in 2020 and the if there is a plan to bring something USO capable within 12 months, then you cannot demand via USO is how it will work.

Given the speed at which it can be deployed, then yes 4G is probably going to be a big part, did not write it up on our news feed as seems not worth it until we have a better idea of what will actually happen and be made available.

I agree that 4G is the most likely technology for BT to use to fulfil most of the USO requests, I've thought that for a while. They already have the packages in place, basically these:

BT / EE's "4GEE Home Router / Mobile Broadband" packages

An external LTE antenna can be installed for an extra £100, which seems like a good idea.

I myself use a 4G router (TP-Link Archer MR200), with an EE Data SIM (albeit only 32Gb per month at the moment), and Load Balance it with my slower (2-2.5Mbps) ADSL connection (using a DrayTek Vigor 2860Vac router), and it does give me a nice "superfast boost" when needed (although these days I usually run out of 4G data before the month is up!). So, it's certainly a viable solution for many areas, in theory. The speed and latency of 4G in general are good.

I keep mentioning EE, and realise that others use Three, O2 or Vodafone (or MVNO's [Mobile Virtual Network Operators] based on these) - but I'm keeping my comments to EE for the purpose of this posting, as EE is part of BT and will be used for USO delivery - plus many of us out "in the sticks" on our long EO (Exchange Only) lines, can only get service from EE (if we're lucky enough to have 4G at all - I was chatting to somebody a few days ago not too far away who can't get any fixed line broadband at all, not even 0.5Mbps, and no proper mobile signal, so has to use Satellite for internet), and we aren't often covered by the other 3 mobile networks, at least not for 4G.

However, there are 2 areas that I believe need solving before 4G can be a full USO option, at least in my opinion:

1. The CGNAT issue - if using a pure 4G connection, it's very difficult to use systems (e.g. if hosting a service from home, utilising home automation etc) that may need Static IP addresses. This especially can affect people (like myself) trying to work or run a business from home. I know some 4G SIM contracts allow Static IPs, but they usually seem extremely expensive.

2. Data Caps - the current EE plans allow 50 to 300Gb limits (at a hefty price - I was tempted at one point by the 200Gb option, but the prices of all their packages have actually *increased* by £10 per month recently, which goes against what BT say in their response document about driving prices down - maybe it's a case of them "making hay while the sun shines"?!). The problem with the data caps is that they are a "hard stop" when you reach the limit, like hitting a brick wall! Although, at least with EE, this means you don't accidentally rack up huge extra costs by going over your limit, which is excellent. You can buy more data to last you until the next billing month starts (when your data allowance is reset), however extra data is at massively inflated prices.

In my opinion, for USO purposes, these issues could be mitigated or solved by offering, ***in USO-eligible Post Codes only*** packages that either:

1. Use a "tapered" data limit, combined with speed throttling when the data cap is exceeded. I'm aware of the issues with offering unlimited data on 4G packages, I've heard it's not sustainable due to congestion / backhaul / spectrum capacity + bandwidth problems, etc - however, just for those of us in USO areas, maybe the downstream & upstream speeds could be throttled back to, for example, 3Mbps down / 0.5 Mbps up, if/when the data cap is exceeded - that way, at least we wouldn't lose our important connection.

And / or:

2. Use a true "bonded connection", to combine our existing sub-10Mbps fixed line link, with a 4G link. This would required special hardware both at the user's end and ISP-end. But, that would mean that when the 4G data cap was exceeded, we could still use our slow fixed-line link, without being cut off. Also, it would potentially solve the CGNAT issue, by using the slow fixed-line link for all such traffic requiring it. I guess Load Balancing is a 2nd option, but true Line Bonding would be better. Again, special packages just for USO usage, in order to prevent capacity issues on 4G.

I still also think that maybe traditional point-to-point (line-of-sight) FWA (Fixed Wireless Access) links, and maybe also TV Whitespace, can also play a part in providing USO connections to some of the harder to reach areas. With Satellite only as an option of real last resort.

Of course, I'm still hoping that some USO can be fulfilled by FTTC / FTTP, although this is looking less likely.

From a purely selfish perspective, I'm also still hoping that some of us in Wales will be included in the next BDUK phase (still waiting to hear news on that) - and the same goes of course for BDUK areas in Scotland, England & N.I. too.

Anyway, those are my (probably un-informed!) thoughts on the matter. If anyone thinks they are viable, I may be minded to provide feedback both to Ofcom and BT - we have until 15th October to submit responses - see: https://www.ofcom.org.uk/consultations-and-statement...

Kind regards,

Adam.

Trouble is, I don�t know how EE�s LTE spectrum would fit in to Openreach. As really it is Openreach that would have to fulfil any USO, rather than individual CPs such as BT Consumer or TalkTalk.

Can Openreach use EE�s spectrum? I don�t know the answer to that at all, does anyone else?

Does it even have to be done by Openreach and wholesaled?

So if BT Group is designated a USO for broadband would it satisfy Ofcom if they merely say �Well we can provide EE Home 4G Broadband to all of those properties�? Not wholesale it to other providers, just retailed by EE and presumably by BT Mobile too?

Edited by deleted (Sun 16-Sep-18 14:46:20)

The USO obligation will probably fall on BT Group, rather than Openreach specifically, and don't recall seeing any requirements for USO service to be made available on the same basis as Openreach services are currently.

Icarus

You need to read the BT response to see what they are suggesting. I think a summary would be.

Out of the 600k sub USO lines suggested at 2020, 450k would be already provided with (4G) wireless ability so reducing the USO to only 150k. ( Some with outside aerials.)

So only 150k would be looked at, either by
1. Proactive build starting ASAP (2019) if OFCOM designates BT quickly, target to cover ALL by end of 2021 (price dependant on take-up demand density).
2. Reactive build starting with requests ( building demand up until under £3400/ connection) in 2020 likely to be longer waits and unlikely to cover all until post 2023 due to slow ramp up.

If BT are going to cover an area (others may cover some areas) I prefer 1 on economic and efficiency grounds, as I can foresee that there will be one off demands everywhere and it is not possible to do all the work at once on a demand led basis. Therefore proactive build will enable quicker rollout to more people but some people who want it at the start date may have to wait until the end of the programme which will be more than 12 months.

Several industry respondents have noted the same issue as BT in that building everywhere within 12 months for odd connections is not possible with the available resource.

kitkat: I did read BT Group�s response. My question was how Openreach fits into this. Which you haven�t addressed at all.

Andrew: Your response in interesting. So if it�s BT Group as a whole that�s being targeted, and they aren�t required to wholesale then as long as EE can serve most of the properties with 4G then the remainder can be done via Openreach?

Edited by deleted (Mon 17-Sep-18 16:21:58)