VoIP News: November 2009

The reliability of next-generation broadband services could have more of an impact than the top connection speeds they offer, according to the Broadband Stakeholder Group (BSG).

According to Antony Walker, chief executive at the BSG, the recession has prompted consumers to ask for greater value from their broadband services, as well as seeking faster connection speeds.

Having next-generation broadband could enable businesses to communicate cheaply by using technology such as VoIP hardware.

Mr Walker, speaking at the Westminster eForum keynote seminar the Future of Broadband in the UK, said: "My feeling is [next-generation broadband is] much less about headline speed than it is about an assured level of service and, critically, greater upload speeds."

He added that more work needs to be done to identify what specific elements of next-generation broadband could transform the internet.

The seminar was held at Over-Seas House, London, and addressed issues such as the government's proposed phone line tax and how next-generation broadband has been deployed internationally.

The rate at which next-generation broadband networks are established throughout the UK will depend on users themselves, internet service providers (ISPs) and the government, says Ofcom.

According to the broadband industry regulator, next-generation broadband could have a major impact on the services available to consumers in their everyday lives, while also delivering great benefits for the economy.

Stuart McIntosh, partner for competition at Ofcom, said that because the technology remains young a range of "uncertainties" will affect the way in which it is regulated, but the organisation will do what it can to encourage investment.

Mr McIntosh, speaking at the Westminster eForum keynote seminar the Future of Broadband in the UK, said: "[Next-generation broadband] is potentially a world-changing issue and possibly something which is going to have a dramatic effect on both our personal lives and our economic lives."

Faster broadband speeds could enable more people to make better use of VoIP hardware, while they could also access faster download speeds.

Nearly two million additional UK homes gained internet access within the last year, according to the Office for National Statistics.

There was a rise of 2.1 per cent in the number of e-commerce sales in 2008 compared to the previous year as the information and communications technology sector grew, says a new report.

According to the government report, the value of e-commerce sales between 2007 and 2008 increased by nearly 37 per cent, while half a million additional businesspeople had access to the internet at work in 2008 than in the previous year.

The increase in the number of UK businesses providing access to the internet could mean more employees are able to communicate with each other using VoIP solutions.

Andy Cordial, managing director at Origin Storage, said: "The amount of electronic data that is within any corporate today is ten times the amount that was there even five or six years ago, so the biggest driver is the amount of electronic data in the world".

There was a 1.2 per cent rise in the number of businesses using the internet between 2007 and 2008, according to the government report.

In a bid to increase the amount of revenue available for the development of high-speed broadband services, many homes could be charged multiple phone line taxes.

The government recently announced plans to impose a £6-a-year tax on all homes with a phone line before next year's general election to raise money to develop next-generation broadband networks throughout the UK.

However, a leaked government memo suggests homes with multiple phone lines may be charged a separate tax for each line, meaning nearly two million homeowners could be asked to pay over £20 a year with VAT, reports the Times.

The news has prompted calls for clarity in relation to what the government intends to do, especially as many businesses have multiple phone lines.

Sara Draper, head of knowledge economy at the CBI, said: "The costs must be kept proportionate and so the government needs to clarify exactly how the charges will apply to individual businesses with multiple lines."

Alternatives to laying fibre optic cabling are being considered in rural areas due to the expenses the process incurs, with wireless networks also capable of enhancing VoIP hardware.

The development of next-generation broadband networks throughout the UK is reliant on a substantial demand from consumers, says an expert panel.

According to the Communications Consumer Panel, there has to be a clear idea of what high-speed broadband services will be specifically used for, while the issue of how to fund the new networks remains.

Many businesses already use software that needs connection speeds much higher than two megabits per second to run effectively, while VoIP solutions could operate better with faster services.

Roger Darlington, member for England at the Communications Consumer Panel and chairman of the Westminster eForum keynote seminar the Future of Broadband in the UK, said: "Crucially, once we have these networks in place, what is actually going to drive consumer and business take-up?"

While discussing whether high-speed services are actually needed in the UK, the seminar also discussed whether the government should shoulder some of the cost of developing the networks.