Ref:  26/00
Date: 19 April 2000

A comparison of international prices for high speed broadband services delivered over the telephone network has been published today by Oftel.

The comparison of Digital Subscriber Loop (DSL) services currently available in March 2000 in the UK, USA, France and Germany showed that UK prices were similar to those in other countries.

These are preliminary conclusions. DSL services are only just starting in the UK and this comparison is based mainly on prices for trial services.

In the UK, the equivalent monthly charge for DSL residential services ranged from £32-£50, compared to £32 - £75 in the USA, £34 - £48 in France and £33 - £87 in Germany.

Oftel’s strategy published in January, highlighted benchmarking against other countries as an important way for Oftel to assess the relative competitiveness of telecoms services in the UK.

David Edmonds, Director General of Telecommunications said today:

"It is essential for the UK to have prices for DSL services that compete with the best in Europe and the USA. In the UK these are still early days for broadband services carried over the telephone network, but these results are encouraging.

"The UK has some of the lowest prices. The range of bandwidths on offer to residential consumers in the UK is comparable to that in the USA.

"There is of course room for improvement in others areas such as availability to consumers throughout the UK. With BT’s roll-out of DSL services now in hand and with local loop unbundling on track for 2001, I am confident that UK consumers will soon have widespread access to these advanced services.

"Benchmarking availability and prices with other countries is an important way for Oftel to monitor the provision of these important new high speed services. Oftel will monitor these prices on a regular basis.

"As well as today’s survey on DSL services, Oftel will publish in early May an international comparison of prices for Internet access, mobile and PSTN calls."

Notes to Editors

1. The survey ‘International Benchmarking of DSL Prices’ is available on Oftel’s website at www.oftel.gov.uk. The survey was carried out by the telecoms consultants Analysys in March 2000.

2. Digital Subscriber Loop (DSL) is a new ‘broadband’ technology that enables ordinary telephone lines to carry a variety of new digital information services such as high speed Internet access and video on demand. BT is currently installing DSL technology in its local exchanges, and by July 2001 other telecoms companies will be able to install their own DSL equipment in BT’s exchanges as a result of Oftel’s decision to open up BT’s local loop to other companies. This will lead to greater competition and drive down prices.

Back to Press Release Index