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Switzerland to include 80Mbps broadband in the USO

It will be the most ambitious broadband USO in the world, and require significant investment

Switzerland was an early adopter of broadband in the USO: Switzerland was one of the first countries to add broadband to the scope of the universal service obligation. In 2008, the Government required Swisscom to provide a service that offered a minimum of 600Kbps download, and 100Kbps upload. The requirement has been reviewed several times over the years, with Swisscom currently required to provide broadband with at least 10Mbps download and 1Mbps upload speeds, and at a maximum price of CHF45 (£36.84) per month.

Swisscom will soon have to offer two speed tiers: On 10 December, the Federal Council proposed a new review of the USO, to come into force from 2024. As part of that, the Government is introducing a new requirement for the broadband service, which will have to include an offer with 80Mbps download and 8Mbps upload speeds, priced at CHF60.35 (£49.40) per month. The Government justified its proposal given the rise of remote working and learning during COVID-19. The new requirement will complement the existing USO requirements rather than replace it, meaning that Swisscom will need to offer two speed tiers. However crucially, Swisscom will only be required to meet the USO where the market does not offer a similar service.

The upgrade will be gradual: The Swiss Government’s proposal is certainly ambitious – no other country has set such a high speed for the broadband USO so far. With a 2024 implementation, it also leaves some time for Swisscom to prepare for the new requirement. The Federal Office of Communications (OFCOM) clarified that it does not expect Swisscom to upgrade all its lines immediately to make those speeds available to all – a task that could take some time considering that currently 400k lines do not support that level of performance (and also the geographical challenges of the country). To reduce the burden, the Government expects Swisscom to make gradual upgrades based on demand. The new rules also set a maximum cost for Swisscom of CHF12,700 (£10,400) to establish or adapt a line. Where this cost is exceeded, the end user would be expected to pay for the remaining part.

Source: https://www.admin.ch/gov/en/start/documentation/media-releases.msg-id-86370.html