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Virgin Media to use BT lines to extend superfast fibre broadband coverage

Virgin Media could provide more competition to BT by using BT’s infrastructure to expand its superfast broadband coverage.

The move follows yesterday’s ruling by communications regulator Ofcom requiring BT to allow competitors access to its fibre lines and network of telegraph poles and underground ducts.  Under the new rules, rival internet providers will be able to run fibre optic cables along BT’s poles and ducts.

This would substantially reduce the cost of extending their high-speed broadband networks because they would not have to dig up pavements to lay the cables.  Ofcom hopes this will accelerate the roll-out of superfast broadband across the the UK and ensure many more households in rural areas get access to next generation internet services.

Virgin Media’s high-speed network covers almost 12.7m homes, mainly in urban areas. It is planning to extend its coverage to another 400,000 households by the end of 2012. But the ruling could help it reach as many as 16m of the UK’s 26m homes.

In a statement, Virgin Media said: “This is an important step that rightly focuses on opening up areas of the country not already served by super-fast broadband, removing one of the hurdles that make such developments near impossible at present.

“However, we now need to ensure the price demanded for access to poles and ducts does not limit the ambitions of getting next-generation connectivity to those people living outside our towns and cities.”

BT is the UK’s largest internet access provider with a superfast broadband network that will cover 4m homes by the end of this year and 17m by 2015. The group welcomed Ofcom’s announcement and pointed out that it was already sharing its fibre lines with rivals.

Ofcom’s chief executive Ed Richards said the move was designed to promote competition and investment in superfast broadband. “The development of the UK’s super-fast broadband future is well under way with the roll-out of services in large parts of the country,” he said.

“Ofcom has finalised a clear regulatory framework to promote investment, competition and innovation to enable as many consumers as possible to benefit from these exciting new services.”