GiffGaff to trial £10 full-fibre broadband to existing mobile customers

The UK broadband market is bracing for a shake-up as mobile disruptor Giffgaff unveils its ambitious plans for a £10-a-month full-fibre broadband service.

Capitalising on the competitive climate ignited by Vodafone’s £15 billion merger with Three, Giffgaff, owned by O2, aims to undercut established players with its aggressively priced offering.

The company is currently trialling the service with up to 500 existing customers, providing them with  500mbps speeds for £10 per month over a 12-month period. In addition, it is also paying them £100 for ‘helping out’ with the new service, effectively meaning the customer will pay just £20 for the year.

This trial price point significantly undercuts rivals like BT, whose cheapest deals hover around £30, and is half the price of many alternative network providers. Ash Schofield, Giffgaff’s chief executive, stated: “Broadband is a natural evolution for us as a connectivity brand. We know people are frustrated with their current broadband offering so we’re committed to bringing together the best tech, with the experience of the people that matter most – our customers – to build better broadband.”

Giffgaff’s foray into the broadband arena leverages the Nexfibre full-fibre network, a joint venture involving Liberty Global, Telefonica, and InfraVia.  Future expansion will see the service extend to the VMO2 network.

The move is expected to intensify pressure on alt-net rivals like Cityfibre, which have invested heavily in full-fibre infrastructure. Indeed, Giffgaff’s value-centric approach, mirroring its success in the mobile market, could force competitors to re-evaluate their pricing strategies.

While the final pricing details are yet to be confirmed, Giffgaff’s trial offer signals a clear intention to disrupt the status quo and offer consumers a significantly cheaper route to high-speed internet.