Feeds

AOL UK won't pass on BT ADSL price cuts

'Nothing new to pass on'

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

AOL UK says it has no plans to pass on today's wholesale ADSL price cuts because it claims there is "nothing new to pass on".

According to AOL, today's "price cut" is merely a re-packaging of a £25-off wholesale promo offer which ran for the first three months of the year.

In that instance, the promo sliced money off the up-front activation costs for ADSL. But that offer ended at the end of March with costs to ISPs rising again by £25 a month.

Today's cut in monthly wholesale fee is worth around £20 a year to ISPs.

In overall cost terms, today's cut in wholesale monthly charges for domestic users is merely the same as the previous promo but packaged differently

A spokesman for AOL told The Register: "Nothing has changed. BT is merely re-announcing the same cost cuts as before.

"In fact, compared to a week ago, our costs are now higher," he said.

Another industry insider told The Register privately that BT was effectively "dropping them in it" explaining that end users will see the headlines and expect to see that price cut passed on.

What customers don't know is that while BT is giving with one hand it is also taking with another, he said. ®

Related Stories

BT confirms ADSL price cuts
Tiscali blasts BT's 'anti-competitive' ADSL price cuts

Internet Security Threat Report 2014

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.