Broadband News

Telegraph reports that Wholesale ADSL price to halve

The Telegraph has run an item on it's website here that suggests Ben Verwaayen BT's new chief executive will announce in in inaugural speech price cuts of upto half from the current rough wholesale price of £30, suggesting that a wholesale price of £15-£20 may be on the cards very soon.

The article does warn that Ben Verwaayen isnt likely to give precise details this week but warns the announcements are to be part of a series of changes over the next few months. It may be that the price cuts come in stages, e.g. a £5/month cut now and more as the numbers of users increases - with a wholesale price of £15, the £25-£30 should be the normal retail price including VAT to end users and at that level lots of people will find ADSL attractive, especially those running two phone lines and paying for unmetered access, since the second phone plus an unmetered package works out at £25/month.

Lets also hope that the new chief recognises the problems of the cease/provide cycle and works to put in place as soon as possible the scheme that BTwholesale is currently working on to make the transition between service providers simpler, i.e. rather than a full cease, a new transfer process is created. A method for migrating large numbers of users between ISP's exists, a reduced fee of £25 to cover administration costs would be about right.


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