Sometimes rivals find it is easier to work together. That is the case for TalkTalk and BSkyB (News - Alert) – which are making a fiber network in York, located in the north of England.
It will not only provide very quick broadband, but the companies will be able to avoid using the BT (News - Alert) network. The service will involve fiber-to-the-premises (FTTP) pipes, as opposed to the slower option of copper cables at the end connecting residences and the local fiber network.
TalkTalk and BSkyB will be working on the project with CityFibre, which put in place fiber in York. Fujitsu (News - Alert) will be responsible for the infrastructure, CNET said. The service is expected to be offered in 2015 to at least 20,000 residences or businesses, according to news reports.
“This announcement makes York the digital infrastructure capital of the U.K.,” York city council leader James Alexander was quoted by Street Register. “Gaining ultra-fast broadband across the city is a huge boost for our economy, providing significant new opportunities for businesses based here and better quality and value to our residents.”
Under the deal, BSkyB, TalkTalk and CityFibre each will have a 33.3 percent stake in the joint venture.
"We are going to deliver a pure fiber network that will deliver speeds of 1 Gig per second (1,000 Mb) direct to homes and businesses in York independent of BT Openreach (News - Alert) infrastructure," Dido Harding, CEO of TalkTalk, added in a statement quoted by Reuters.
TalkTalk and Sky will collaborate on similar networks in two more cities.
For purposes of comparison, BT provides a fiber-to-the-home service with speeds of 300 Mb. Virgin Media (News - Alert) provides speeds of up to 152 Mb.
In a related matter, Ofcom, the U.K.’s regulator, announced that one in four residential fixed broadband connections are superfast in the United Kingdom. That is defined as a maximum speed of 30Mbps or quicker.
Edited by Alisen Downey