Just of last week, as the UK Government, specifically Mr. Philip Hammond, the Chancellor of the Exchequer released their plans in improving and upgrading the fibre broadband infrastructure of the country. The said project will be funded with £400 million but was immediately bashed and chastised by the Virgin Media.
The £400 million fund is composed of cash that broadband providers contribute as they wish to expand and enhance their network services. On the other hand, private network companies are required to commit the same amount as to the government shares in the fund.
As the project succeeds, an additional fund of £740 million will be supplied to the enhancement of 5G services and the freedom for other local authorities to bid for the rebuilt of a bigger and better fibre broadband connection.
On the contrary, the Virgin Media Chief Executive Tom Mockridge is convinced that what the project for the upgrade of the country’s fibre broadband connectivity enhancement will not actually be solved in the government’s plans and that only a minute amount of the needed fibre network growth will be executed and accomplished.
In addition to Tom Mockridge’s announcement, £3 million was financed by the Virgin Media to boost on the network connectivity. They proclaimed that there is no need for the state to create subsidy for this enhancement to take place. Besides, He also stated that the government doesn’t even have the announced money to be given away to the project.
However, Mr. Mockridge emphasizes his argument is to truly disagree to the government’s fibre connection plans as it will just create competition from smaller companies.
He further explained that what the government must be focused on is not in the development. Instead, the government must fixed, rationalized, and evaluate the broadband network connection rules and regulation for a more effective competition among providers.
It is known to the public that Virgin Media is currently accomplishing their Project Lightning Initiative with a fund or £3 billion. The project aims to extend ultrafast fibre broadband for up to 17 million households over the country by year 2019.