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Originally Posted by Rob2005
Another point on whether we get this 100mb is money. Both ntl and Telewest are in hugely in debt and according to the Telwest merger document I received yestesday, the merger is going to cost a hell of a lot more money. The more in debt a company is the less it can borrow and has to pay higher rates. Will ntl have enough dosh to roll this 100MB out, or this just a pipe dream? Wouldn't it be more sensible to offer the customer fibre to the home, charge the customer a few 100 quid installation, then offer as much speed, hdtv, vod, catv services etc as can be pumped down the pipe? All for a cost of course.
---------- Post added at 21:03 ---------- Previous post was at 20:58 ----------
Yes, and as I posted above this is because of money. Plus, there's nothing stopping BT offering fibre to the home and they don't even have to dig up streets, just connect another wire to their poles. They would really cause ntl problems. In America the former bells are now offering fibre to the home, posing a real threat to the cable cos there.
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Like you have already said, NTL and Telewest will be in more debt after this merger so less money is going to be available, unless of course the company is then bought up by some other bigfirm and money is made available that way,(which could happen). So providing fibre to the home would involve a huge investment which just isn't going to happen at the moment, the cable networks of NTL and Telewest are only just starting to be utilised, the equipment that is already in the ground has not yet begun to pay back what it has cost to put in, they don't need fibre to the home yet, the next investment will be VOIP. Yes this will cost but not as much as FTTH will, NTL is trying to get as much out of the network without having to spend too much at the moment, apart from upgrades to the broadband network that is it and i can't see much money being invested on FTTH for years.