Demon Internet, the ISP singlehandely responsible for kick-starting the UK's Net industry, branded the UK government's recent consultation on interception of online communications as unrealistic and unreasonably expensive.

In a press release, the world's fourth largest hosting operation claimed that the proposals would put UK ISPs and hosting operations at a competitive disadvantage in the global market. They would require bespoke versions of routing hardware and software to intercept datastreams, and extremely high bandwidth links to law-enforcement agencies. In a market where the costs depend entirely on efficient transmission of data, and economies of scale gained from purchasing industry-standard equipment, Demon claim the government's proposals to be entirely unreasonable.

With the biggest player in the market against them (Demon are also one of the largest providers of connectivity, and cover all market segments from modems to leased lines), these proposals may be dead in the water. For all it's 'New Britain' rhetoric, this government just doesn't get it.

For more information about the UK's creaking progress towards eCommerce legislation, see Seb's article.