Fujitsu opts out of super fast broadband tender in Wales

Fujitsu has withdrawn from the tender process for providing super-fast broadband for Wales. It means that BT is the only network operator remaining to undertake the BDUK framework in Wales.

The situation is the same as that of Highlands and Islands region of Scotland. ‘PC Pro’ has informed that Fujitsu was forced to take this action because it felt that the risk levels in the contract were very high.

However, the ICT-based company will have no problem in going ahead with the projects in other regions where terms are more reasonable.

Fujitsu had planned to associate with Cisco, TalkTalk and Virgin Media to install fiber optic broadband system to serve about 5 million rural homes. But it wanted Ofcom to advise BT to allow the other service providers to utilize its underground ducts and telegraph poles on reasonable terms. In last November, Geo Networks opted out of the project in North Wales blaming BDUK and local authorities for showing undue favour for BT and neglect for other service providers.

At that time, Chris Smedley of Geo Networks explained the prospective risk connected with lack of take-up. He also highlighted the absence of guarantee on government revenue.

He felt that the charges BT wanted for accessing its ducts and poles were too much. He was not pleased with the restrictions fixed by BT on the usage. Obviously he had to pull out.