BT Business are to remove the 0.5Mbps tier from its product range by upgrading all existing 0.5Mbps customers to 1Mbps and 1Mbps customers to 2Mbps for free. Before we go any further it should be emphasised that this only applies to business customers using the BT Openworld Network 500/1000/2000 products. More details will be on their website after 1st October, with the regrades taking place over the months of October/November/December 2004. The BT press release is available here.
Network 1000 will drop in price from £100 per month to £65/month, and Network 2000 is going to drop from £130 to £100. Oddly for those people whose line is not up to receiving 1Mbps they still end-up paying £65 per month as Network 500 is not dropping in price at all. Obviously just as with all ISPs, the regrades are subject to the lines performance, and having had 0.5Mbps for some time is no guarantee that your line will support 1Mbps, and similarly for the upgrade to 2Mbps.
This BT Business Broadband pricing offer sounds attractive until you look at what the wholesale prices are: 0.5Mbps is £20/month, 1Mbps is £32/month and 2Mbps is £57/month. Certainly if you look at the pricing of 1Mbps on our ISP list the BT price of £65 is undercut by many ISPs.
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