O2 targets SMEs for broadband

O2 is targeting small to medium enterprises with its new broadband offerings

Mobile operator O2 has launched its latest broadband package, targeting the UK's small to medium enterprises.

Aside from offering connection rates of up 20Mbit/s, the operator is also promising uplink speeds of 1.3Mbit/s, a feature which designed to appeal to the SME sector.

"The average BT uplink is about 450Kbit/s, so if you are a business where you have to send large files, a fast uplink will be of great advantage," said Mike Fairman, head of broadband at O2.

While the promotion of consumer broadband packages largely focuses on maximum download speeds, two-directional traffic is increasingly important as the use of video and other demanding services grows. This will be a serious issue for internet service providers (ISPs) in the months to come, said Fairman.

"The use and downloading of video is very bandwidth intensive, and it is growing," he said.

"Even though networks might be able to cope with it, the cost that service providers incur will certainly go up over time. I'm sure this is going to be a source of debate and growing concern for internet service providers (ISPs)."

The growing popularity of the BBC's iPlayer service has renewed debate over the strain that video content places upon networks. Last month the broadcaster's departing head of future media, Ashley Highfield, threatened to "name and shame" internet service providers that were restricting iPlayer traffic.

But ISP Tiscali's head of strategy Simon Gunter responded by accusing the BBC of inflaming a difficult situation.