Question on Market 3 exchange

[#1]

My exchange is presently Market 3 and Ofcom states 

Quote

1.6      Ofcom’s analysis of the wholesale broadband access market has shown that competition is maturing at different rates across the UK. In the majority of the UK consumers have access to at least four wholesale broadband providers. In contrast, in some areas competition has not yet developed and consumers in these areas only have access to one wholesale provider. These stark differences in competition have resulted in Ofcom identifying four separate geographic markets: i)    the Hull area; those areas covered by exchanges where KCOM is the only operator. This market covers 0.7% of UK premises. ii)  Market 1; those areas covered by exchanges where BT is the only operator. This market covers 16.4% of UK premises. iii)  Market 2; those areas covered by exchanges where there are 2 or 3 operators. This market covers 13.7% of UK premises. iv)  Market 3; those areas covered by exchanges where there are 4 or more operators. This market covers 69.2% of UK premise!

However there are now only 3 principle operators Sky LLU, CPW (in it's various guises TalkTalk, Tiscali and AOL) LLU and BT.
Does this mean that Ofcom are likely to drop the exchange to Market 2 and if they do would Plusnet then start charging me more.

[#2]

What about Virgin Media?

[#3]

What about them - they aren't there either

[#4]

Just checked mine again, Orange joined the ranks on 20/1/2010  Dont remember C&W/Bulldog, but they are there now as well - whoever they are  then BE/O2 and the CFW lot AOL/Talk Talk, but not Tiscalli, funny as I think I at one time was on LLU with PN via them.
Had a door knocker from TT yesterday

[#5]

Sky and CPW can hardly claim to need protection from BT so it would be disappointing if Ofcom did change the status to Market 2. Is the reason for the reduction that CPW have swallowed up Tiscali (so really nothing has changed)?

[#6]

the whole market 1,2,3 thing is in my opinion a complete joke, if plusnet (and their wholesale supplier ) can still make enough money charging £6, £12 £20 (rounded up by 1p) then those people on market 1 or two exchanges, who have no choice in the matter at all are paying significantly over the odds for the same service.
Plusnet value is £5.99 for some or £11.99 a difference of  £6 or £72 per anum.
Plusnet premium is £11.99 for some or £19.99 a difference of £8 or £96 per anum.
Plusnets homepage is incredibly misleading over prices as well, the low prices are there, in your face big and bold, although it says from £5.99 or from £11.99  its non to clear on what the word from means,  and in reality the prices can be signifficantly more than those that are stated.
also theres a panel on the left that states " 80% of UK households can get broadband at our lowest prices" which seems to suggest that the prices could be even lower in some cases.

[#7]

Exchanges are sometimes reclassified from Market 3 to Market 1 or 2, but the list is updated rarely, so I'd say it's pretty unlikely.
@pint, the prices for both market areas are listed when you click the 'more info' link. The 80% refers to the portion of the UK in a Market 3 exchange.

[#8]

I take it that Plusnet can charge lower prices to customers on a market 3 exchange because they themselves are being charged less by BT, or is there some other financial costings involved?

Alastair

[#9]

Correct, it costs us less to supply service on a Market 3 exchange, so we can charge accordingly to better compete with LLU providers.

[#10]

Quote

The 80% refers to the portion of the UK in a Market 3 exchange.

What exactly is meant by the word portion?

Alastair

[#11]

i was interested in that as well given that in 2008 Ofcom stated

Quote

1.6      Ofcom’s analysis of the wholesale broadband access market has shown that competition is maturing at different rates across the UK. In the majority of the UK consumers have access to at least four wholesale broadband providers. In contrast, in some areas competition has not yet developed and consumers in these areas only have access to one wholesale provider. These stark differences in competition have resulted in Ofcom identifying four separate geographic markets: i)    the Hull area; those areas covered by exchanges where KCOM is the only operator. This market covers 0.7% of UK premises. ii)  Market 1; those areas covered by exchanges where BT is the only operator. This market covers 16.4% of UK premises. Review of the wholesale broadband access markets iii)  Market 2; those areas covered by exchanges where there are 2 or 3 operators. This market covers 13.7% of UK premises. iv)  Market 3; those areas covered by exchanges where there are 4 or more operators. This market covers 69.2% of UK premises.

So how does 69.2% become 80%

[#12]

I wonder what Ofcom mean by UK premises  
> So how does 69.2% become 80%
Don't know.
That's statistics for you, you can make them do anything you want  
jim:quote

[#13]

Better now?

[#14]

On a more serious note, it turns out the figure is nearer 70%, so we'll be getting that changed soon.