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Ethernet
price
reductions
A three year journey
Total Market
250%
10Mb
100Mb
1Gb
224%
200%
180%
165%
150%
136%
100%
50%
23%
0%
13/14
14/15
15/16
16/17
17/18
100%
4%
10Mb
5%
100Mb
6%
1Gb
>1Gb
6%
7%
80%
25%
27%
30%
31%
33%
52%
55%
56%
13%
8%
4%
15/16
16/17
17/18
60%
46%
40%
48%
20%
25%
20%
0%
13/14
14/15
Looking back:
You asked us to reduce 100Mb access prices, backhaul prices and look at
how we could improve certainty of Ethernet pricing:
In April 2013:
In April 2014:
What we did:
Ethernet Access Direct (EAD)
100Mb rentals reduced by between 25 and
33 per cent
The goal:
To make 100Mb Ethernet products
far more competitive and accessible
Since then:
Weve seen significant growth in Ethernet
adoption among SMEs
and for both public sector and large
corporate networks.
What we did:
Ethernet Backhaul Direct (EBD) rentals reduced
by 30 to 35 per cent. Also, used EAD price
reductions to offset introduction of a 548 fee to
cover first 2,800 of ECCs
The goal:
To help cut overall network costs and provide far
greater cost certainty.
Since then:
The market has continued to grow and ECC
restructuring has simplified bids for customers,
and made more sites economically viable.
The overall number of primary circuit EAD
orders incurring any ECC at all has fallen
from 30 to 8 per cent.
Up to
-32%
-40%
-10%
Product
Charge
type
Price in
2013
Price on 1
April 2015
Reduction
since 2013
EAD 100Mb LA
Connection
1,950
1,900*
-3%
Rental
2,131
1,605
-25%
1,950
1,950*
0%
Rental
3,629
2,400
-34%
Connection
2,500
2,050*
-18%
Rental
4,800
3,000
-38%
Connection
3,995
2,100*
-47%
Rental
7,779
4,200
-46%
Connection
4,575
2,100
-54%
Rental
7,782
5,448
-30%
Connection
14,000
12,000
-14%
Rental
30,400
13,962
-54%
*Connection
includes ECC
exemption of
2,800.
Grasp the
opportunity to
upsell
Game-changing EAD 1G
price reductions
Current
price
% decrease
Price from 1
April 2015
Connection
Rental
Connection
Rental
Connection
Rental
Connection
Rental
Connection
Rental
Connection
Rental
2,450
4,440
7,500
7,200
3,900
5,664
7,500
9,000
4,000
7,998
9,500
12,804
-16%
-32%
-27%
-32%
-46%
-26%
-27%
-24%
-36%
-19%
-21%
-18%
2,050
3,000
5,500
4,899
2,100
4,200
5,500
6,798
2,550
6,498
7,500
10,500
5 year product
Charge type*
Current
price
% decrease
Price from 1
April 2015
Connection
Rental
Connection
Rental
Connection
Rental
Connection
Rental
Connection
Rental
Connection
Rental
2,450
3,600
7,500
5,799
3,900
5,625
7,500
7,599
4,000
7,800
9,500
10,710
-16%
-18%
-27%
-16%
-46%
-26%
-27%
-11%
-36%
-17%
-21%
-2%
2,050
2,952
5,500
4,851
2,100
4,152
5,500
6,750
2,550
6,450
7,500
10,452
1 year product
EAD 1Gbit/s Local Access
EAD 1Gbit/s Local Access RO1
EAD 1Gbit/s
EAD 1Gbit/s RO1
EAD 1Gbit/s Extended Reach
EAD 1Gbit/s
60 month minimum period
*With the exception of RO1 circuits, EAD connection prices still include a 548 charge that covers an ECC exemption of 2,800.
N.B. Reductions have also been made to EAD SyncE and Enable products. See supporting summary sheet for all price changes.
Get 10 times the EAD bandwidth for less than 6 extra per day in year 1.
And with only a 1 year commitment!
*Compares the overall rental and connection charges for a standard EAD1G to a standard EAD 100Mb circuit.
Future-proof customers
And retain their connectivity
business for longer
Consider what you could offer to customers (or
potential customers) who are:
*Remember: Openreach will be ending Support for all WES WEES BES products (up to
and including 1G, excluding WES Aggregation) from 1 April 2018.
We can work
through all the
price changes with
you and help you
decide how best to
grow your
business and
secure your base
Build for
tomorrow, for
less
EBD 1G and 10G price
reductions
Product
Charge type
Current
price
Connection
3,500
2,100
Connection
3,500
2,100
Connection
3,500
2,100
% decrease
Price from 1
April 2015
-40%
Connection
7,000
4,200
Connection
7,000
4,200
Connection
7,000
4,200
Connection for EBD 1Gbit/s is being reduced to make backhaul more competitive
in support of onward network sales.
Charge type
Current
Price
% decrease
Price from 1
April 2015
Connection
12,250
-2%
12,000
Rental
15,600
-10%
13,962
Connection
12,250
-2%
12,000
Rental
18,501
-10%
16,560
Connection
12,250
-2%
12,000
Rental
26,982
-10%
24,150
Connection
24,500
-2%
24,000
Rental
31,200
-10%
27,924
Connection
24,500
-2%
24,000
Rental
34,101
-10%
30,522
Connection
24,500
-2%
24,000
Rental
42,582
-10%
38,109
Connection and rental for EBD 10 Gbit/s is being reduced to ensure EBD remains a viable
alternative to our Optical solutions.
Price in
2013
Price on 1 Reduction
April 2015 since 2013
EBD 1Gb
connection
4,575
2,100
-54%
EBD 10Gb
rental
30,400
13,962
-54%
Outdoor Opportunities
Street Access 100Mb price reductions
Note: Street Access price reductions are not related to LLCC . They are included here for completeness.
Product
Charge type
Before 10
Jan 2015
% decrease
Since 10
Jan 2015
Connection
Connection
Connection
2,000
250
2,750
-12.5%
-20.0%
-9.1%
1,750
200
2,500
Product
Charge type
Until 1 April
2015
% decrease
From 1 April
2015
Rental
Rental
Rental
600
600
2,750
-16.7%
-16.7%
-59.8%
500
500
1,105
1 April 2015:
Product
%
increase
Price from
1 April 2015
Survey Fee
255.58
1.8%
260.30
238.33
1.8%
242.73
144.01
1.8%
146.67
43.60
1.8%
44.40
4.45
1.8%
4.53
3.13
1.6%
3.18
2.83
1.8%
2.88
5.06
1.8%
5.15
20.28
1.8%
20.65
40.56
1.8%
41.31
81.12
1.8%
82.62
29.40
1.8%
29.94
704.89
1.8%
717.93
New footway box medium (surface area between 0.5 and 1 sqm)
1,551.77
1.8%
1,580.47
2,687.72
1.8%
2,737.44
2,484.87
1.8%
2,530.84
Provision of a medium carriageway box (surface area between 1 and 1.25 sqm)
3,042.70
1.8%
3,098.98
3,478.82
1.8%
3,543.17
These price increases have been made in line with a construction cost index and will only apply to orders planned after 1st April 2015, with no rework for orders
which have yet to reach KCI3 (where ECCs are confirmed). This will benefit CPs as we will not revise upwards for orders that are yet to reach KCI3
The price of a survey fee will also be amended on the Non Served Premises, Standalone Survey and Short Duration Lines pricing pages.
Current
price
%
increase
Price from
1 April
2015
2,448.00
2.3%
2,504
2,881.00
2.3%
2,947
1,135.00
2.3%
1,161
1,362.00
2.3%
1,393
1,813.00
2.3%
1,854
25.20
1.9%
25.68
These price increases have been made to reflect an inflationary increase in costs.
Summary of
changes
And where to get
more information
Up to
-32%
-40%
-10%
-9%
average
Up to:
-20% connection
-59.8% rental
1.8%
1.9%
to 2.3%
ECCs
Small increases in line with a construction cost index
Ethernet Cablelink
Small increases in line with inflationary increase in costs
More information
We are constantly reviewing our prices and the Openreach price list is
always the most reliable source of up to date pricing information.
All the latest documents including links to price list entries and
customer briefs can be found along with this pack at:
www.openreach.co.uk/pricereductions
To discuss how any of these price changes could benefit you, please
contact your Openreach sales and relationship manager in the first
instance.