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WHAT'S THE story with new broadband advertising rules? Pricewatch readers who last autumn got in touch to complain about the…

WHAT'S THE story with new broadband advertising rules?Pricewatch readers who last autumn got in touch to complain about the misleading advertising campaigns being run by some broadband providers should take a bow because your complaints have played a significant role in bringing about a change in the way broadband services will be advertised in the State from early next month.

Last October, a number of readers contacted us after realising with some dismay that mobile broadband providers in particular were not delivering on promised download speeds of up to 3.6 megabits per second (Mbps).

The three operators offering mobile broadband - Vodafone, 02 and 3 - claimed such connection speeds were possible, but the reality was somewhat different. At 3.6 Mbps, users could reasonably expect to download an album from iTunes in under 10 minutes. But speeds never came close to this magic number and often struggled to reach a third of it. Some people complained that speeds of less than 10 per cent of the maximum were not uncommon.

Slow speeds notwithstanding, many of the 100,000 people who took out mobile broadband packages, described it as an absolute godsend and the only solution to the sometimes glacial pace of broadband roll-out in certain parts of the State.

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It wasn't just the mobile operators who stood accused of manipulating their figures. Most broadband providers operating in Ireland have been guilty to some degree of selling consumers products which don't live up to the hype.

After receiving the complaints, Pricewatch contacted the communications regulator, ComReg, to find out if it had any plans to better regulate the marketing of broadband to Irish consumers. A spokesman said the problem had not featured prominently on the regulator's radar but said it would hold a meeting with the Advertising Standards Association of Ireland (ASAI) and the National Consumer Agency (NCA) to review the issue.

It sounded very much like we were being fobbed off, but it turns out that wasn't the case. The meetings did take place, after which ComReg chairman Mike Byrne wrote to the State's broadband operators expressing concern about how their products were advertised.

A SERIES OF over-and-backs followed, culminating in a new directive being issued which will force broadband providers to significantly alter their promotional material in order for it to more accurately reflect the actual download speeds available to subscribers.

Under the new code, which will take effect on April 7th, broadband operators advertising maximum speeds will also have to tell potential customers what is the average broadband speed attained by their service during "the busiest hour" of the busiest day of week, averaged over the previous quarter.

While it is impossible to say what the advertised speeds will fall to once the new code comes into force, industry sources estimate during the busiest hour it will be closer to 800 kilobytes per second - less than a quarter what is currently advertised.

While ComReg says that less than 20 people lodged complaints with it about broken broadband speed promises last year, Orla Twomey, the assistant chief executive of the ASAI told Pricewatchit had received "quite a number of complaints in relation to broadband speed, particularly in connection with roaming broadband".

She hailed the new advertising code as "a new departure" for Irish consumers.

"One of the problems is consumer expectation and how it is managed," says Barbara Delaney, information services manager with ComReg, adding that plans are in train to update its callcost telecom comparison website to include the new information about broadband speeds.

She says that it had got a commitment from operators that there would be "more in-depth provision of information to consumers inquiring about the products" in store.

It is not always the case, but in this instance Irish regulators would seem to be one step ahead of their British counterparts who are still struggling to come up with an agreed formula to ensure more accurate broadband advertising.

Earlier this month, BT Wholesale, the UK's largest broadband supplier, called for ISPs (internet service providers) to quote average speeds instead of theoretical maximums in their advertising.

The call came after a survey found that just 15 per cent of customers who signed up to 8 Mbps packages actually got anything close to that speed.

While broadband penetration here has grown at among the fastest rates in Europe over the last 18 months, Ireland still compares unfavourably in terms of the speed and price of services.

That could be about to change if the speeds and prices promised by the mobile operators, Smart Telecom and cable TV operator UPC Ireland, are delivered upon.

EARLIER THIS MONTH Smart rolled out a 15-megabyte service for €45 a month, or €70.36 including line rental. For its part, UPC is offering a 12mb service for €40 a month. Both deals compare very favourably with the comparable offering from the market leader, Eircom. Its 12mb service, which is aimed primarily at the business market, costs €169 a month.

ComReg is not without its critics, and it is often accused of lacking the will or the wherewithal to take on the big companies in order to protect consumer interests.

It is a charge the regulator, understandably, rejects and Delaney says that ComReg, the NCA and the ASAI will moderate the marketing of broadband closely, and if operators find ways to manipulate the newly required information to their advantage and circumvent the code then further intervention is to be expected.

Conor Pope

Conor Pope

Conor Pope is Consumer Affairs Correspondent, Pricewatch Editor