BT does battle with AOL over broadband
Competition in broadband internet services intensified yesterday with AOL and BT Group trading blows over high speed online services.
AOL unveiled a new pricing tariff offering broadband access costing £19.99 a month for 256kbps with a free modem and installation.
BT countered with its own offer of free modem and installation - normally £80 - for its entry-level broadband service which also costs £19.99 a month but offers 512kbps. BT imposes a limit to the total amount of data customers can download each month, however, of 1 gigabyte. AOL has no such capacity limits.
The BT offer starts today and will run until 20 July. It is in addition to BT's existing offer of free flights to the US and Europe for all new consumer broadband customers. However, AOL stepped up the pressure in the premium broadband market as well. It has cut the price of its Broadband Platinum service that offers the much faster 1mbps speed from £34.99 a month to £29.99. The equivalent BT service costs between £38 and £40.99 a month.
The rival offers came as the House of Commons Trade and Industry Committee published responses from the Government and Ofcom to a report into the UK broadband market it published in February.
The responses confirmed that the Government's and Ofcom's determination to see greater competition in the provision of broadband and an expansion of its take-up among businesses and consumers.
Ofcom has already published various proposals to encourage broadband competition and make it more cost effective for rivals to access the necessary network infrastructure run by BT Wholesale.
- 1 Forget 'The Dress': Here are five of the biggest news stories you might have missed
- 2 The black and blue dress: Makers considering a white and gold version
- 3 PornHub turns masturbation into energy in bid to save the planet
- 4 The remarkable archaeological underwater discovery that could open up a new chapter in the study of European and British prehistory
- 5 Saudi Muslim cleric claims the Earth is 'stationary' and the sun rotates around it
New theory could prove how life began and disprove God
This is what it's like to be dead, according to a guy who died for a bit
'Cash for access' scandal: Sir Malcolm Rifkind says 'unrealistic' for MPs to live on £67,000 salary
'Jihadi John': CAGE representative storms off Sky News accusing Kay Burley of Islamophobia
Ukip would cut billions from Scottish budget to fund English tax cuts
Russia's roadmap for annexing eastern Ukraine 'leaked from Vladimir Putin's office'
iJobs Money & Business
£40000 - £50000 per annum + pro rata: SThree: SThree Group have been well esta...
£30000 - £37000 per annum: Recruitment Genius: Established in 1999, a highly r...
£250-£300 Day Rate: Jemma Gent: Are you a qualified accountant with strong exp...
£230 - £260 Day Rate: Jemma Gent: Do you want to stamp your footprint in histo...