Broadband and mobile operator Virgin Media and O2 (VMO2) have today become the latest ISP to adopt Ofcom’s new guidance on inflation-linked annual broadband price rises. In practice, this means that new and re-contracting (upgrading) customers will be hit by a flat price increase of up to £3.50 (monthly) each April.

The new policy reflects the regulator’s earlier move to BAN broadband ISPs and mobile operators from doing mid-contract price hikes that are linked to confusing inflation and percentage-based changes (here). BT, Plusnet, EE, TalkTalk, Vodafone and others have already adopted a similar approach to the one that Virgin Media are now deploying.

However, Ofcom’s change was never designed to stop mid-contract hikes completely (it’s more about making future pricing clearer and simpler), but it did require providers to tell customers precisely what any future price increases would be when they sign-up (“in pounds and pence“). This rules out changes to core subscription prices that are linked to unknown future inflation values or percentages.

In short, new and re-contracting Virgin Media customers will see their prices rise by £3.50 a month effective each April, while O2 customers will see their airtime bill increase by £1.80, effective each April (their monthly device payments remain frozen at a fixed price). Customers on VMO2’s Social Tariffs and Talk Protected landline services are exempt from price increases.

Elsewhere, O2’s MBB (mobile broadband) and smartwatch customers will receive an annual price increase of 75p – half the amount that EE customers are experiencing.

A VMO2 spokesperson said:

“From January [2025], we’ll change how we communicate and implement price increases. All future price changes will be included in customers’ contracts in pounds and pence, giving them even more certainty about how their bills may change over the course of their contract.

For new and re-contracting Virgin Media customers, this will be a flat increase of £3.50 a month, effective each April, while airtime price increases for O2 customers will be £1.80 a month, with device payment amounts remaining frozen. At less than the cost of a takeaway coffee or a sandwich, this represents excellent value for connectivity that our customers are using more than ever before, at the same time as we invest more than £5 million a day in our networks and services to give our customers the fast and reliable connectivity they increasingly rely on.”

The concern for consumers is that this approach does have its flaws, such as with the fact that it may make some entry-level packages more expensive than they would have been under the old system (particularly now that RPI inflation has returned to a more normal level). The fact that providers can specify a specific rise ahead of time will also do little to dampen calls for an outright ban on mid-contract hikes in favour of fixed term pricing.

However, not all ISPs adopt the same approach as the biggest players and many smaller providers, particularly newer alternative networks (altnets), often promote packages with simple fixed price terms. We should also point out that Ofcom won’t formally begin enforcing this policy change on the market until 17th January 2025, but that’s not far away now.

Finally, consumers should take note that Ofcom’s new policy is typically only focused upon the core subscription price of a package, thus call charges and any paid add-ons may still adopt a different approach. VMO2 also argues that it needs to raise prices because its own costs keep going up due to increases in data usage, network upgrades, new regulations, new features / content and service delivery costs etc. (e.g. energy bills more than doubling over the last two years). Inevitably, those increases often end up being passed on to consumers.

People travelling on the tourist focused Swanage Railway in Dorset (England), which is a heritage railway attraction that operates full-size steam and diesel passenger trains along the 5+ miles of line from Norden to Corfe Castle and down to the seaside town of Swanage, will soon gain access to onboard WiFi thanks to a new project.

The Dorset Council teamed up with tech company Excelerate Technology UK to bring mobile network and satellite-powered (Low Earth Orbit) public WiFi to Purbeck Park car park, the nearby Norden train station and on board the railway’s popular steam service from early 2025. The project is said to be part of the government’s Rural Connectivity Accelerator (RCA) programme.

The RCA has committed £163,021 of funding to support the roll-out, which will also enable the railway to adopt cashless payments (currently a problem due to poor mobile signal in the area), boost their social media presence and improve safety with Voice over Internet Protocol (VoIP) WiFi calling available for staff, volunteers and visitors.

Cllr Richard Biggs said:

“This is a groundbreaking project at Swanage Railway, which could help pave the way for better connectivity in the future.

Not only will it enhance the visitor experience for people using the railway, but it will explore how these technologies can improve services in remote areas.

It is a fantastic example of how we’re working towards a more connected and inclusive Dorset, ensuring that everyone benefits from digital innovation.”

Swanage Railway is said to contribute more than £15 million to the Dorset economy every year, but rising costs and falling visitor numbers have hit it in recent years. The railway’s move to go cashless in March 2024 has similarly struggled a bit due to many of the nearby rural areas being poorly served by fixed and mobile operators.

Still, £163k does seem like rather a lot of money for a public WiFi network, although fitting such hybrid equipment to a moving train and ensuring it works across the whole route does tend to be a bit more of a challenge than your usual site-specific deployment.

The UK telecoms regulator, Ofcom, has today published the final draft auction regulations for its plan to auction off a large chunk of millimetre wave (mmW) radio spectrum frequency in the 26GHz and 40GHz bands, which will be used by mobile operators to deliver faster 5G (mobile broadband) services – mostly in urban areas.

At present EE (BT), O2 (Virgin Media), Vodafone and Three UK already have access to several 5G bands between 700MHz and 3.8GHz. Such frequencies reflect the same sort of mid-band radio spectrum that mobile network operators have been harnessing since the advent of the first 3G and 4G data networks many years ago.

However, the move to auction off the two higher frequencies of 26GHz (25.1-27.5GHz) and 40GHz (40.5-43.5GHz) is designed to complement existing bands by providing operators with lots of additional spectrum frequency, which means more data capacity for extremely fast speeds (e.g. multi-Gigabit). But such signals tend to be very weak, which means they’re often best for serving busy areas (e.g. shopping malls, airports etc.) and fixed wireless broadband (FWA) services.

The auction process for all this has already been detailed since 2023 (here), although the regulator had been waiting for a final decision on Vodafone’s proposed merger with Three UK before proceeding (i.e. because that deal may result in some changes to competitive spectrum holdings). But the CMA now looks set to give that merger the green light (here) and so Ofcom are moving forward, again, by publishing the final draft auction regulations and some other related documents.

Ofcom’s Statement

Next year, we will release spectrum in the 25.1-27.5 GHz and 40.5-43.5 GHz bands, which we call millimetre wave, or mmWave. This is high frequency and well suited to carrying large amounts of data in densely populated towns and cities. It is particularly appropriate for places where there are lots of people, like stadiums, busy streets, concert venues and train stations.

Ofcom has today also published information for parties considering participating in the auction, including:

➤ practical guidance to help participants navigate the auction, including how to apply, and indicative timings for each stage of the award process;

➤ information about the spectrum we are making available and the conditions for use of the spectrum; and

➤ information about where the spectrum will be licensed for use.

The auction will take place in 2025 and we expect to provide a further update on timings before the end of this year.

Just to recap. Ofcom are aiming to award several 15-year, fixed term citywide licences (“high density areas”) to use the “new” mmWave bands in 68 major towns and cities across the UK, as well as some localised licences for “low density areas” within those cities via their Shared Access licensing framework. The UK is a long way behind other countries that have already awarded spectrum in the mmW bands, but one advantage of playing catch-up is that supporting mobile kit and device support is now much more mature than it once was.

Some customers of SIM-Only mobile operator spusu, specifically those that own various particular models of Google’s popular Pixel Smartphones, have been complaining that they often struggle to make or receive calls on the operator’s network when connected via 4G (VoLTE). But efforts are underway to resolve the problem.

Before we get started it’s important to point out that Google’s Pixel phones have developed somewhat of a reputation for calling related problems via Voice-over-LTE and also Wi-Fi Calling, although some of those were resolved in a firmware update issued in June 2024 (here). But from time to time, we still receive complaints about issues with specific operators, which usually requires the operator to work closely with Google in order to develop a fix.

Over the past month or so we’ve received a number of similar complaints via email, as well as on our discussion forum, where owners of Pixel phones (various models) have complained about 4G calls being sent direct to voicemail or failing to work at all (both sending and receiving) on Spusu.

As one customer, Gabrielle, told ISPreview last week: “I love the monthly deal and the customer service, but there are times when I can’t make a call nor receive one! (I keep LTE selected). Spusu say they have sat down with goggle engineers and are trying to iron out the issues.”

A spokesperson for spusu told ISPreview:

“spusu is aware of the issues owners of Google Pixel phones are having with the network. Firstly, we’d like to apologise for the inconvenience caused. We are working tirelessly with Google to ensure full compatibility with Pixel devices and are hopeful for a resolution in early 2025. In the meantime, we would advise customers to visit our website for the full list of compatible devices and please get in touch if they have questions.”

In theory, when VoLTE isn’t working, the handset should drop back to 2G, but for various reasons that doesn’t always happen and in some cases those calls can also end up being sent to voicemail instead, which is an issue that other customers have told us about too. But it’s good to hear that spusu are working on a fix, even if it remains unclear precisely when that will be introduced.

At the same time, it’s worth noting that none of Google’s phones are currently listed as being compatible with either spusu’s Wi-Fi Calling or VoLTE features via their website (here and here). But in this day and age consumers would probably just assume, understandably so, that all operators should have wide support for these features, particularly with the 3G switch-off occurring and 2G to follow.

Mobile operator EE last week began informing users of their Smart Number (Shared Number) service that they will discontinue support for Apple’s iPad and MacBook devices on 9th December 2024. The service gives customers the ability to make and receive calls and texts using the same number across multiple devices.

The Smart Number service was originally launched back in June 2018 (here), although users of this feature were recently surprised when they received the following message (credits to one of our readers, Charles, for sharing): “We wanted to let you know that, from 09 December, you’ll no longer be able to use your EE shared number service on MacBooks and iPads. Watch functionality, along with the Apple-provided iCloud number-sharing function, won’t be affected. We’re sorry for any inconvenience caused by this update.”

ISPreview understands that individual users and call volumes for this service have been low for a number of years, which probably helps to explain why EE might wish to move away from it. Customers affected by the change may of course be able to use the iCloud service, housed within Apple, as an alternative.

An EE spokesperson told ISPreview:

“From 9th December 2024, the ability to use our shared number service on MacBook and iPad devices will longer be available on the EE network. We’re committed to offering a range of services for our customers so always review our portfolio on a regular basis. Any customers affected by this update have been notified via SMS.”

Customers of mobile operators O2 and Vodafone in the West Yorkshire (England) village of Cullingworth have struggled to get a usable network service for over a month after one of Cornerstone’s (CTIL) local masts suffered a power cut. But a “safety related defect on the structure” appears to be delaying repairs.

The mast in question (eNB 522652), which is pictured on this article, went offline on 2nd October 2024 and has remained down since then – causing some degree of anger among local residents. In response, both operators notified their customers, via a text message (presumably received by those with Wi-Fi Calling enabled or when connecting to a different site), that the “a phone mast close to you isn’t working“.

The notice went on to say that the operators have “got essential work to do” on the mast and were “in the process of gaining permission to get on the site to fix things“. But the wait has now gone on for longer than a month, and residents have been left to scratch their heads as to the reason for the slow progress. Until now.

A Vodafone Spokesperson told ISPreview:

“We’re sorry to our customers who are affected by issues with their services. Our networks team have been unable to access the site since the outage was reported due to the ongoing management of a safety related defect on the structure.

We’re working hard to restore services as soon as possible. We encourage our customers to sign up to Network Checker to receive status updates regarding network issues.”

Vodafone hasn’t detailed precisely what the “safety related defect” actually is, although we understand that work to restore the local mobile service is currently underway and due to finish on 11th November. But this assumes that no nasty weather events get in the way of being able to safely conduct the repairs (the original notification promised an update for 12th November).

Credits to forum member Bubbles121 for taking the picture and granting ISPreview permission to use it.

Viewpoint

[Bangkok, Thailand, November 5, 2024] TM Forum, a leading authority in the ICT industry, successfully hosted the Innovate Asia 2024. There, Dr. Philip (Xiaodi) Song, Chief Marketing Officer for Huawei Carrier Business, delivered a keynote speech titled “ADN Unleashes New Momentum for Networks with Intelligence.” He shared details about Huawei’s innovative AI Copilot and Agent applications, designed to help communications service providers (CSPs) evolve towards Autonomous Networks (AN) Level 4.

Over the past few decades, technological advancements have improved network productivity and customer experience helping to revitalize the communications industry. However, the advent of the intelligent era has raised the requirements for telecom network latency and bandwidth, significantly increasing operational expenditure (OPEX). To simplify network operations, many CSPs around the world have incorporated AN into their strategies and deployed Huawei’s Autonomous Driving Network (ADN) solution. This is helping them achieve AN Level 3 and actively evolve toward Level 4. Against this backdrop, AI foundation models are a crucial stepping stone for automating repetitive and to simplify complex O&M challenges in telecom operations scenarios.

Dr. Philip explained, “Telecom networks have transitioned from the era of small AI models developed based on expertise to the era of AI foundation models. Foundation models overcome the constraints of logic, rules, and scenarios, enabling comprehensive efficiency improvements in the ICT field. Built on their Telecom Foundation Model, Huawei provides a set of role-based Copilot and scenario-specific Agent applications, significantly enhancing network O&M efficiency and delivering excellent customer experiences in high-value scenarios.”

Dr. Philip also elaborated on Huawei’s Copilot and Agent solutions customized for intelligent O&M, network optimization, and experience operations, as well as their implementation achievements. This will help CSPs evolve value scenarios from AN Level 3 to Level 4.

• For intelligent O&M, Huawei offers two innovative agents: CompSpirit (complaint handling agent) and AssurSpirit (fault handling agent). They use the Telecom Foundation Model for intelligent diagnosis of complaints and faults, achieving E2E automatic troubleshooting, reducing skill requirements for telecom personnel, and significantly enhancing the automation rate of alarm analysis and troubleshooting efficiency.
• For network optimization, Huawei’s OptimSpirit (network optimization agent) detects poor-QoE incidents in milliseconds and uses the Telecom Foundation Model to generate and implement optimization policies automatically. This reduces the optimization time from hours to minutes and significantly improves network traffic usage.
• For experience operations, Huawei offers HCEMate (home connection engineer copilot) that works with AssurSpirit and OptimSpirit to provide E2E home broadband user experience assurance, from service deployment and troubleshooting to user experience optimization. This solution significantly enhances the marketing success of home broadband services and reduces user complaint rates.

In closing, Dr. Philip called on telecom industry partners to collaborate on further AI applications across the industry and evolve toward AN Level 4.

News 

The installments will boost connectivity for the city’s residents 

Virgin Media O2 (VMO2) has introduced the UK’s first 5G standalone (SA) small cells in Birmingham, boosting mobile connectivity in some of the city’s busiest areas, it claimed in a press release this week. These new 5G small cells, installed on street furniture around Broad Street and Fleet Street, are designed to improve mobile capacity where demand is highest. 

Initial performance data suggests that the new 5G SA cells provide a smoother mobile experience, helping customers with activities like browsing and streaming.  

Unlike large cell towers, the small units can be fitted onto existing structures to bring focused coverage improvements in urban spaces. This latest installation adds to Virgin Media O2’s ongoing rollout of small cells across the country.  

The 5G standalone network, launched by Virgin Media O2 earlier this year, now covers over 300 towns and cities. Unlike older 4G and 5G networks, standalone 5G offers faster speeds and lower delay times, giving O2 customers better,faster and more reliable connections at no extra cost. 

Partnering with Ontix and Alpha Wireless, VMO2 has also introduced MIMO (Multiple Input Multiple Output) technology, which allows speeds of up to 300Mbps in Birmingham’s city centre. 

MIMO works by using multiple antennas at both the transmitter (in this case, the small cells) and receiver (such as a user’s smartphone), allowing for simultaneous data streams. This technique maximises the efficient use of available spectrum, meaning more data can be transmitted at once, leading to higher speeds and lower latency. 

“Small cells are playing a vital part in our mission to bring reliable mobile coverage to all customers and improve services in the busiest areas,” said VMO2 CTO Jeanie York. 

“Having already turned on our cutting-edge 5G standalone network in more than 300 towns and cities, available to customers at no extra cost, we’re working hard to ensure all our customers consistently receive an exceptional network experience wherever they are and even at the busiest times,” she continued. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter      

Also in the news:
Mobily and Telecom Egypt to deploy Red Sea submarine cable 
CMA set to approve Vodafone–Three merger
SK Telecom announces “AI Infrastructure Superhighway”

News 

Chancellor Rachel Reeves’ recently announced budget is set to hike up BT’s costs as a result of national insurance payment increases  

BT released its financial results for the half year ending on 30 September 2024 this week, which showed a mixed bag of developments in a challenging economic landscape.  

The UK incumbent reported a 3% decline in revenue, primarily driven by issues in non-UK operations and a competitive retail environment. Reported profit before tax sits at £1 billion, down 10%. This was “primarily due to lower revenue, higher specific costs and higher net finance expenses,” the company explained. 

A significant highlight in BT’s recent performance is the speed of its fibre rollout, which has now reached over 16 million premises. Openreach passed 2.1 million premises with fibre-to-the-home (FTTH) in the last six months and has set an ambitious target to reach 4.2 million premises for FY25. The company has reported 446,000 new active connections on this network, raising its total to 5.5 million. 

Additionally, BT’s 5G network expansion continues to lead the market, covering 80% of the UK population, more than any other operator. 

I addition to its rollout updates, BT also confirmed that its workforce has been cut by 2,000, or 4% year-on-year, to 118,000, which saved the £433 million in annual costs in the first half alone. 

However, the latest UK budget posed new hurdles for the operator. The government’s decision to hike employers’ National Insurance contributions could cost BT an additional £100 million annually. In response, CEO Allison Kirkby outlined several measures to mitigate this impact, including potentially passing costs on to mobile and broadband customers. She also said that cost-cutting initiatives through automation and AI would be accelerated.  

“We are confirming our EBITDA, capex and cash flow guidance for FY25, albeit on lower revenue guidance. We remain firmly on track to meet our long-term cost savings and cash flow targets, and today announce an interim dividend of 2.40pps. The accelerated modernisation of our operations, combined with a focus on connecting the UK, puts us in a strong position to generate significant value for all our stakeholders,” said Kirkby in the announcement. 

Despite these financial pressures, BT remains ‘committed to its strategic priorities’, particularly its full fibre and 5G rollout plans. The company is also exploring options for its international arm, BT Global, which may include a sale or restructuring to better optimise its operations. 

Back in May, the company said it had hit its target to save £3 billion by 2025 a year early, with much of this total being driven by the company’s ongoing job cutting programme that will see 55,000 jobs eliminated by the end of the decade.  

Kirkby now says it will aim to repeat this, cutting a further £3 billion in costs by 2029.  

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter  

Also in the news:
Mobily and Telecom Egypt to deploy Red Sea submarine cable 
CMA set to approve Vodafone–Three merger
SK Telecom announces “AI Infrastructure Superhighway” 

UK ISP B4RN (Broadband for the Rural North), which is a community benefit society that has deployed a 10Gbps capable full fibre (FTTP) network to 25,000 premises across rural parts of England (inc. 13,000+ customers), have improved their Connect+ promotion in order to help consumers escape their existing contracts early.

New customers normally pay from £33 a month for B4RN’s default 1Gbps symmetric broadband package (plus a £60 setup fee payable over 12-months). But they also offer a special Connect+ option, which is simply a way for people to get connected to B4RN’s gigabit full fibre network without having to wait for their existing provider’s deal to end.

In short, under the old offer, if somebody was stuck in a contract that had 12 months or less to run, then you could get B4RN’s service for only a £5 monthly tariff until your other deal runs out (the £60 one-off connection fee still applies) – effectively running two broadband services at the same time. Once your existing provider’s contract ends, you’d move on to the applicable B4RN tariff (e.g. £30).

The main change today is that B4RN has extended this to make it available to those “stuck in a contract that has 24 months or less to run“.