Strategies for rural broadband The need for radical action Tim Johnson, Chief Analyst, Point Topic...
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Transcript of Strategies for rural broadband The need for radical action Tim Johnson, Chief Analyst, Point Topic...
Strategies for rural broadbandThe need for radical action
Tim Johnson, Chief Analyst, Point Topic
NextGen 2010: Broadband in the Rural Economy
23 November 2010
www.point-topic.com
2
Three points today
Rural areas need broadband more than urban areas
The rural-urban digital divide is growing Radical action is needed to reverse this
trend By local communities, from the region to
the village By national government, to change the
rules so rural broadband can work
3
Rural areas need broadband more
Improve access to resources Leisure, work, health, education, security,
government
Reduce environmental costs Avoid commuting and other journeys Support the shift from physical to virtual
Make it easier to earn a living Remote working for ordinary people Create the economic foundation for viable
communities
4
Rural areas are falling behind
The gap is widening as bandwidth needs increase Superfast broadband is the new target Greater distances and lower population densities
make it hard to finance
Our infrastructure index measures the gap Takes the average of 6 speed-related indicators of
broadband coverage
Rural areas behind urban on every one Rural scores 25%, urban 67% overall
6
UK Infrastructure Indexby Local Authority (v12)
5 (42)
4 (131)
3 (126)
2 (100)
1 (7)
.
Diagram shows Point Topic’s Broadband Infrastructure Index band for each local authority,the darker the better.
And there isn’tenough money
There is already a huge gap in the quality of broadband infrastructure between areas.
Unless there is significant public intervention the gap will get worse.
The £530m provided by the Spending Review is nowhere near enough.
We need to rebalance investment priorities in favour of broadband
7
Radical action is needed – by communities
Local pride, enthusiasm and JFDI are just the start
Only investment based on a working business model will deliver a lasting fit-for-purpose service
Go a step beyond the given -Create the business case
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Creating the business case
Many different parties will benefit Who will contribute to the cost?
Foundation customers? Environmental funds? Developers and property owners? Infrastructure builders?
The case for investment must be made Good data is one requirement – here is where
Point Topic can help
But government needs to change the rules so rural broadband can work
9
Drilling down 1: Derbyshire Dales has low take-up – 35.6%
Drilling down from the region to the villageto find the most left-behind areas
14
Radical action is needed – four tasks for government
1. Help the broadband business case to leverage wider community benefits
2. Provide some investment certainty So that investment now is not gazumped
by big players a few years ahead A railway model - bidding for area
franchises to minimise gap funding?
3. Tackle the absurdities of the fibre tax
4. Legislate for information transparency