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Carphone Warehouse with 421,000 live broadband users
Wednesday 11 October 2006 10:27:00 by Andrew Ferguson

Some have been waiting on the official second quarter results from Carphone Warehouse. Details have now been published on the website.

The company has declared itself "a victim of our own success", and with sign-ups continuing at 15,000 per week it seems that people are finding the price point of the telephone/broadband appealing. Since 1st April 2006, Talk Talk has signed up 625,000 customers to its 'free' broadband bundle, with 421,000 with an actual live broadband connection (20,000 on LLU), and 516,000 with the telephone service running. This rush of customers has led to the company increasing its estimate for the cost of the broadband business from 50 million to 70 million, which appears centered around hiring more customer service staff and having to buy more capacity from BT Wholesale. A total of 370 exchanges have been unbundled to date, with a further 476 handed over by Openreach.

Our forums are now showing a growing number of people being connected to the Talk Talk LLU service, which is confirmed by the news that Talk Talk has 20,000 customers using unbundled lines. For those not on one of the unbundled exchanges it appears the company is now starting to provide a Max (up to 8Mbps dependent line quality) service, rather than connecting people on a fixed 1Mbps to 2Mbps service.

Carphone Warehouse has published the full update on its own corporate website.

Looking at the release the figure of just 20,000 customers on unbundled exchanges is dissappointing, AOL who have been nowhere near as agressive has over 100,000 LLU customers. Talk Talk does say it will be bulk migrating people to LLU services in the near future. We hope the company and its support centre managers have closely studied the fault rates for LLU and issues it generates, otherwise we are likely to see support standards plummet as people try to report the teething problems that are too common with LLU.


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