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Broadband - Some factors to consider
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What's right for you?

If the challenge of getting Broadband into the Village was daunting, the choice of supplier is possibly more so.

 

There are well over 200 potential suppliers to choose from. Whilst we are seeing price reductions as I forecast, each supplier offers slightly different packages which makes valid comparison time consuming, and could lead to conclusions that may only be valid until next week.  

 

So far, I am advised that nine residents have signed up for broadband with eight different suppliers. The suppliers are AOL, BT, Bulldog, Eclipse, Freeserve, Metronet, Nildram, and Tiscali. Just a matter of weeks into their experiences, it is too early to pass judgement ... but all seem delighted with the change.

 

Personal factors to consider

 

There are a number of basic factors to consider before you even look at prospective suppliers. Key amongst are:

 

1. What do you want to use Broadband for, as this will affect help determine what speed to buy?

 

If you only want to increase the speed of accessing emails and downloads of software you can probably get away with 3 times your existing speed (if available). But if you children are 'gaming', you want to view videos or movies, you will need to have 10 times your existing speed.

 

2. How often do you want to use it?

 

Essentially there are 3 options:

 

a)                   If your internet access is light then consider a dial up or pay as you go service.

 

b)                   If you are a regular and higher volume user then an inclusive package with a standard charge for say up to 150 hours usage per month.

 

c)                   If you use it for business (up to 20 employees) or heavy use, then an unlimited use contract would be best.

 

3.  Do you need other services?

 

Some suppliers charge extra for Email facilities and therefore charge less for their Broadband only service. Metronet is an example. Others provide up to 100mb of web space, and text messaging from your PC to a mobile, free of charge. Tiscali, for example, does this.

 

4.  How much do you want to pay?

 

Prices vary widely, depending on the options chosen and usage. Prices are falling, and I think we can confidently see them fall on renewal of our first contract. At the present time, monthly charges vary from a minimum of £10 + VAT (Metronet) to over £40 for high quality high volume services.  

 

Comparing like with like

 

With the current television and newspaper advertising campaigns bombarding us with special deals and offers it is often easy to get confused … worst still sign up with a ‘nice’ salesperson, only to regret it later. This is more likely to be the case if you are reluctant to change your existing supplier “for fear of the unknown”.

  

Key factors you should consider are discussed overleaf.

 

1.    What is the true monthly cost of setting up the service.

 

Some suppliers suggest a lower monthly rental but charge for ‘Activation fees’ – typically around £30, plus modem – say £50 plus line splitters (required to provide both telephone and PC access to one telephone point) – typical PC World charge £12 each for these. Others provide a free modem or other variation that affects the real cost of setting up.

 

A good example of this is the recent public battle between BT and Tiscali. Last week BT reduced their 10 times (10x) faster monthly rental from £29.99 to £19.99 to challenge Tiscali’s £15.99 offering (3x) and £19.99 for there (5x unlimited) or 10x limited service. On the face of it, BT’s faster service at £19.99 looks attractive.

 

However if we look at the true set up costs, the picture is different:

 

BT charge £80 for modem and activation fees. Over the first 12 months that equates to an additional £6.66 per month, bringing their corrected monthly charge in the first year to £26.65. (this still however cheaper than AOL’ or Freeserve’s package, currently £27.99 … but with some short term special offers or give aways.)

 

This compares with Tiscali’s equivalent (10x) offering of £24.99 with free set up and unlimited use, or their £19.99 package, which can come with free set up, but has usage restrictions.

 

2.  Performance issues

 

Whichever package you buy, you want to know that what is promised is likely to be delivered ... most of the time. Clearly the pace at which people are signing up to broadband affects that.

 

Unless suppliers have, or acquire line capacity to handle more customers some deterioration will occur. The key questions to ask are do suppliers respond, and how quickly.

 

You can compare users perceptions on historic performances, reliability and speed for any 6 suppliers on ADSL's site by clicking here. One needs to be aware that the readings, whilst a good guide to the past may not reflect the current state of play.

 

For example, AOL which lost 2.2m customers last year, Freeserve and some of the other big boys seem to be suffering from over rich content to the detriment of the basics. That, and fierce competition is making them rethink their strategies. Tiscali, which is allegedly picking up some 35% of all new BB connections, had major problems in the first quarter, but following the introduction of new capacity in mid March appears to have responded.

 

Nildrum and Eclipse produce consistently good results. This is not surprisingly as they primarily build for the business and top end of the market where reliability and speed are of the essence. They are however priced at the top end of the range.

 

So what happened in the past can only be a guide. There is no doubt that we will see a shake up in the market over the next 12 months or so, by which time all new Aston BB subscribers will be wiser and can review their contract in the light of their own experience. 

 

Pragmatically, for most of us the odd line break is nothing new, and if we are getting less than 100% of the faster speed of BB, it's a good deal better than we had before. If we can get that at a good price then so much the better.

 

3. Customer Support

 

You should also check out how easy it is, and how much it will cost, to get help when you most need it. Some suppliers simply rely on an internet Frequently Asked Questions (FAQ) page. Others provide a free or local call facility. Some charge premium telephone rates for technical support.

 

Summary

 

It is too early for any resident to comment on their experience, but all are delighted with the faster speed.. 

 

As we all have different needs and budgets its is also wrong for anyone to recommend a particular product without first ensuring that what was right for them then, is equally right for you now.

 

This note attempts to boil down some of the key issues you should be thinking about.

 

Many of you have commented that you do not have the time or enthusiasm to undertake the research into the various propositions. I have undertaken a personal analysis of the 8 suppliers discussed in this note, and have decided to move away from BT, after 40 years and contract with Tiscali’ for both Broadband and telephone services, as that was right for me.

 

If you would like to discuss issues raised here please do give me a ring on 01438 880106 or email me at stephen@communityinitiatives.org.uk

 

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