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CityFibre has signed up two business to business (B2B) internet service providers (ISPs) to enable ultrafast fibre-to-the-premise (FTTP) broadband services to businesses and public sector sites in Milton Keynes and Northampton.
The two contracts, with a combined value of £7m to begin with, have been awarded to Bradford-based Exa Networks and Northampton-based DBfB. Exa Networks is already familiar to CityFibre as it is rolling out a similar service in its home town.
The six-year agreement will see both ISPs commit to supply broadband connectivity to 500 businesses and schools in both Milton Keynes and Northampton.
Milton Keynes, which is home to one of the UK’s most advanced smart city projects, was slammed in a recent report on the state of urban broadband speeds conducted by comparison site uSwitch.
The report claimed that residents of Milton Keynes received an average broadband speed of just 17.1Mbps, well below average and substantially below the government’s defined measure of superfast broadband, which is currently set at 24Mbps.
USwitch named Hull as the city with the slowest average broadband speeds. However, the possibility of CityFibre enabling a service in East Yorkshire is remote for the time being, as local incumbent KCOM – which sold CityFibre its national network in 2015 – retains control of most services in the area.
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Since closing the acquisition of KCOM’s national fibre assets, CityFibre said it had sold 950 connections across five different cities, and realised £15.7m in initial contract value covering both b2b and public sector connectivity, said CityFibre CEO Greg Mesch.
“This latest deal delivers anchor customers in two market verticals, adding DBfB as our 47th service provider partner, and expanding our existing relationship with Exa Networks,” said Mesch.
“The combined contract value of the new business added on the acquired assets to date, including the minimum revenue commitment from KCOM, now totals £40.7m.”