Carphone Warehouse casts doubts about high speed broadband.

Carphone Warehouse casts doubts about high speed broadband.

October 11, 2015

Carphone warehouse questioned the merits of investing in a high-speed broadband network.

The company questioned whether the public demand was high enough to justify the massive investment required.

Carphone Warehouse’s shares went up as they announced a rise in profits due to an increase in broadband customers.

The announcement was spurred by Ofcom which is asking for public opinion on proposals that would encourage telecom providers to enhance their networks.

If upgrades do go ahead it could include the introduction of fibre optic cables which could increase download speed to over 50 megabits a second.

Carhpone Warehouse announced that it had moved over 411,000 broadband users on its network in the three months leading up to September 29th .

The company has a total of 2.5 million broadband customers, 1.4 million are on it’s own network.

Carhpone Warehouse suffers a loss when users access it’s “free” broadband offer via BT lines, but when they move to Carphone Warehouse’s network then they increase their profitability.

timyeo

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