Vodafone plugs into British broadband Internet market

JogjaTechno - Britain’s Vodafone said it would launch a broadband Internet service in the new year, joining a growing band of telecoms companies which offer combined mobile and Internet packages.

The mobile phone giant said Friday it would offer its British contract customers broadband Internet and free calls to landlines for an additional 25 pounds (37 euros, 48 dollars) per month.

The service, which includes line rental, will be rolled out to millions of customers in January 2007, Vodafone said in a statement.

This year has witnessed a slew of low-cost broadband services from the likes of satellite broadcaster BSkyB, Carphone Warehouse and France Telecom unit Orange.

Unlike many of its competitors, Vodafone said it would rent wholesale Internet access from telecoms operator BT Group, instead of building out its own broadband network.

Vodafone had said earlier this year that it would move into broadband as part of an attempt to rejuvenate its British business, where it has 16.3 million customers.

Financial details of Vodafone’s deal with BT have not been disclosed.

BT itself has felt the heat from intense competition in Britain’s fast-growing broadband Internet market.

The telecoms operator had admitted Thursday that its BT Retail division held a 25.0 percent share of new British broadband subscribers in the second quarter, down sharply from the 30.0 percent portion it claimed in the previous three-month period.

// November 11th, 2006