Price war could be sparked by BT prices

It has been claimed that prices for superfast BT broadband in the UK could end up sparking a price war between broadband service providers.

It has been claimed that BT may have sparked a price war amongst Internet service providers in the UK after BT recently revealed that its pricing for high speed broadband would start at less than twenty pounds a month for speeds of up to 40Mbps.

Earlier this month BT announced that it was ready to start its high speed fibre based service, and this means that consumers may be able to choose from more than one high speed broadband provider. The other provider that was already offering this service was Virgin, which provides broadband speeds of up to 50Mbps.

Industry officials believe that the news will be welcomed by consumers and businesses, as it means that the increased competition between the providers will drive down prices for high speed broadband and allow users to get a more affordable deal.

One industry official stated: “This is great news for customers that you have two major, big competitors fighting for customers.” An official from BT Retail stated: “The internet is essential to our customers’ lives and they are demanding more and more as richer and even more compelling services become available.”

In the meantime Virgin Media is fighting back by launching broadband services for businesses under the newly rebranded Virgin Media Business. An official from Virgin said: “This is another step forwards. We’ve been working in the business division for 18 months on getting the business processes to the right level. We’ve improved it dramatically. We can use the fibre network to differentiate ourselves.”

Source – Lake Star Media