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Smaller ISPs: The secret to our success
'Bigger doesn't mean better... '

By Gemma Simpson

Published: Friday 26 January 2007

More than half the UK's niche ISPs think their tailored, more personal services give them an advantage over larger providers.

In an Ofcom survey, 54 per cent of smaller ISPs claimed their ability to offer personalised products rather than standard packages gave them the advantage over the bigger players.

Broadband from A to Z

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A is for ADSL
B is for BT
C is for Cable & Wireless
D is for Dial-up
E is for Education
F is for Fibre
G is for Goonhilly
H is for HSDPA
I is for In-flight
J is for Janet
K is for Kingston
L is for Landlines
M is for Murdoch
N is for Next generation
O is for Ofcom
P is for Power lines
Q is for Quad-play
R is for Remote working
S is for Satellite phones
T is for Trains
U is for Unbundling
V is for VoIP
W is for WiMax
X is for Xbox
Y is for YouTube
Z is for Zombies

The research reported there are nearly 700 niche ISPs, with a combined annual turnover of £1.15bn, serving 30 per cent of business customers and five per cent of households in the UK.

Despite Ofcom's best efforts to encourage competition, smaller ISPs are becoming an increasingly endangered species as the UK's broadband is locked in the big boys' grip.

The UK broadband market witnessed a lot of consolidation last year, including Thus grabbing two rivals in a £70m spending spree, BT snapping up PlusNet for £67m, and Pipex forking out £10m for Freedom2Surf, £12m for Bulldog and £24m for Toucan.