cancel
Showing results for 
Search instead for 
Did you mean: 

Market 1/Market A Premium

wisty
Pro
Posts: 453
Thanks: 57
Fixes: 4
Registered: 30-07-2007

Market 1/Market A Premium

The BDUK programme is finally bringing FTTC to the village. We have an exchange RFS date of 31st December, but I would expect it to be closer to May next year before anything actually appears. But it's time to start planning.
Can anyone point me to the aspect of Openreach Fibre pricing which differentiates Market 1/A from Market 2/3/B. I know there are (were?) some differences in the ADSL prices, driven by OFCOM to encourage LLU investment, but I can't find anything in the Fibre products that would justify the delta between the standard Unlimited Fibre Broadband price of £14.99 a month and the price of £22.49 a month if you live outside of a low-cost area (i.e. Market 1/A). i.e £7.50/month extra or £90/year.
I was planning to ask OFCOM why they want Openreach to charge more when the capital costs of the rollout are being met by the taxpayer - but as far as I can see Openreach charge ISP's exactly the same price for Fibre wherever you are - hence my query about the basis for Plusnet's uplift.
3 REPLIES
Community Veteran
Posts: 6,824
Thanks: 1
Registered: 27-10-2012

Re: Market 1/Market A Premium

I don't think this has anything to do with Openreach - its pricing is constant irrespective of the exchange you are on.
My understanding is that there are two issues:
- Plusnet's contract with BT Wholesale, which might mean they have to pay a higher wholesale cost at non-low cost areas.
- Plusnet do not have to be competitive in their pricing at non-LLU enabled exchanges
Plusnet have always maintained that the different market pricing is due to the costs its suppliers (BT Wholesale) charge it, but these costs will be private and confidential between BT Wholesale and Plusnet.
Community Veteran
Posts: 4,969
Thanks: 362
Fixes: 16
Registered: 10-06-2010

Re: Market 1/Market A Premium

The BTWholesale WBC price spreadsheet lists non-geographic standard end user rental prices for FTTC, but I suppose those prices don't necessarily apply to Plusnet since Plusnet is WMBC not WBC.
kitz
Rising Star
Posts: 817
Thanks: 46
Registered: 08-06-2007

Re: Market 1/Market A Premium

Actually I think its OFCOM that is keeping the prices high in the Market 1&2 regions.
Quote
I was planning to ask OFCOM why they want Openreach to charge more

Its not that they charge more at market 1 exchanges.  Its only Market 3 exchanges which have become de-regulated where OFCOM allow BTw to charge less. 
OFCOM regulates the price for Market 1 and BTw are not allowed to charge less than the figures set by the regulators.  Its up to the ISPs if they subsidise the Market 1&2 exchanges, but BTw must still charge the SP the regulated cost. 
Quote
Can anyone point me to the aspect of Openreach Fibre pricing which differentiates Market 1/A from Market 2/3/B.

Ive wondered about this for a while, as I too have only seen one price list when it comes to BToR Fibre. 
What difference it makes that FTTC is provided under the BToR branding and 20/21CN seems to come under BTw costing Ive no idea, but a couple of years ago I tried to find a difference and came up with zilch. 
Because I havent seen any two-tier pricing for fttc, and Im not aware of any other ISPs charging more for fttc on market 1 exchanges, then this one may fall at Plusnets door.
Are you aware of any other SPs that do charge more for fttc at market 1&2 exchanges?
Certainly the larger ISPs dont seem to. The traditional LLU providers attitude now seems to be that if we dont have a presence in your exchange then we wont/cant provide you with broadband... and even selling off their non-LLU accounts.