BT cuts broadband migration cost
BT has toed the line and slashed the fee it
charges internet service providers for moving consumers between
broadband products.
The price cut follows Ofcom's proposal today that
BT should allow sufficient margin between its two wholesale
broadband products IPStream and Datastream.
BT DataStream is a product that lets ISPs use
their own network to deliver DSL services, while IPStream lets
ISPs sell services to their customers based on BT's network.
Migration prices for moving a customer from an
IPStream based service to one based on DataStream will fall from
£50 to £11 per end user from next month. BT has also cut the
prices that it charges service providers when they sign up
customers from rivals ISPs from £35 to £11.
Bruce Stanford, director of products at BT
Wholesale, said: "Today’s price cut will introduce greater
flexibility into the broadband market. BT is developing
processes so that customers can migrate from one service to
another whether it be from IPStream to DataStream or between
different service providers. These processes will take time to
implement and further announcements will be made over the coming
months."
The Broadband Industry Group, which includes
Cable & Wireless, Centrica Energis, Wanadoo, Tiscali and
Brightview, stated: "We welcome the fall in IPStream to
DataStream migration charges. Nevertheless it will have little
significance without a fair wholesale margin and efficient bulk
and individual migration processes."
"The Group will only truly recognise success when
a level regulatory playing field that allows real wholesale
competition is achieved," the Group added.