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Digital Britain Final Report: implications for UK telecoms - Venture Insights

Report Overview

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Digital Britain Final Report: implications for UK telecoms

PublisherEnders Analysis.
Publish Date June 14, 2009
Sector Fixed Line (Internet and Voice), Mobile and Wireless Technology.
Company TalkTalk.

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The Digital Britain report’s proposed fixed line levy to fund rural NGA may well never become law, but if implemented, could end up being absorbed by the service providers, with a disproportionately negative impact on TalkTalk Group.

The proposed Universal Service Commitment for broadband at 2 Mbit/s looks of limited attraction to potential bidders, but could increase the addressable market for retail broadband by about one million households.

The proposed spectrum solution is a sensible compromise which ensures a roughly even playing field between mobile operators over the longer term. There is however still some way to go to implement it, with mid-2010 the best case timetable for the main auction of new spectrum, with this continued delay benefitting the incumbent mobile operators.