BT to slash wholesale broadband costs
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BT is to slash the cost of wholesale broadband access in a move which could lead to affordable high-speed Net access, its new Arsenal-supporting CEO confirmed today.
Although BT’s change of heart had been widely trailed this week a spokesman for the company described newspaper reports of price cuts as "wildly speculative". No matter. It's all part of the PR game.
Today's confirmation lacks any detail. This is to be released in the next couple of weeks. However, CEO Ben Verwaayen, wants a "substantial cut in the cost of wholesale broadband services."
"This is top priority…and shows our commitment to broadband Britain," he said.
BT will also back the price cuts with a marketing camapign to spread the broadband gospel.
Mr Verwaayen has already held meetings with telecoms regulator, Oftel, on the matter and has accepted that any move must not be anti-competitive.
He wants BT Wholesale – which provides wholesale DSL services to some 200 ISPs – to slash its costs so that BT cannot be accused of cross subsidy.
While news of cheaper broadband may be popular with consumers, it is highly likely to infuriate some of BT's competitors. ®
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