Openreach cuts middle-mile prices

Openreach has cut the prices for middle-mile connections by up to 65 per cent.

The move should make it easier for communications providers, such as ISPs, to invest in greater backhaul bandwidths in the so-called ‘middle mile’.

The prices ucts include 62 per cent off a 1Gbit/s connection and 31 per cent off subsequent rental; the 100Mbit/s wholesale extension service local access product will be reduced to the same price as 10Mbit/s for both connection and rental, or up to 43 per cent off for connection and up to 14 per cent off for rental; and the 100Mbit/s backhaul extension service will be reduced to the same price as the 10Mbits/ version for connection and rental, or up to 65 per cent off for connection and up to 26 per cent off for rental.

Openreach believes these price reductions will help the communications industry meet end user demands for higher bandwidth.

Steve Robertson, CEO of Openreach, said: “For our key broadband suppliers this means the opportunity to buy super-fast gigabit capacity at drastically reduced prices and the chance to enhance their network capacity with minimal incremental investment. In addition, communication providers will soon be able to purchase ten times the capacity they buy today for more or less the same price, allowing business customers to improve their connectivity at a fraction of the cost, and providing a boost for UK competitiveness in an uncertain economic climate.”

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