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Monday, June 05, 2006

Openreach cuts prices to boost LLU market

Openreach today announced the introduction of new pricing which will make it cheaper for communications providers to move their end customers on to unbundled services. LLU operators will benefit from a 27 per cent reduction in the price for migrating their end customers in bulk from BT Wholesale’s broadband products to Openreach’s shared LLU offering. The new price of £25.39 (ex.VAT) will commence on the 1st July and will apply to LLU operators who migrate their existing IPstream or Datastream end-customers to shared LLU in bulk. Openreach also announced the introduction of a new mass migration product to enable LLU operators to migrate their existing Wholesale Line Rental end customers to full LLU on an aggregated basis. This product will be launched at a price of £27.54 (ex VAT) – 21 per cent less than the price for migrating a single user. In addition, LLU Operators will now be able to request a number migration 1 at a price of 49p (ex VAT).

Anne Heal, Managing Director Sales, Products and Marketing, Openreach said, “We are fully committed to making LLU a success. This pricing reduction, along with the introduction of a new mass migration product and the ability to transfer a customer’s telephone number, will make it simpler for customers to move between operators. LLU lines have grown by over 600% in the last year to more than 400,000. This announcement will give industry additional certainty and the confidence to invest in LLU and further stimulate market growth.”

1 Number Migration allows Openreach to migrate the existing end users’ telephone number onto the LLU operator’s network at the LLU operator’s request.

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