BT Ireland cuts rates

ESAT BT turned up the heat on Eircom yesterday by slashing rates on its combined phone and broadband internet package.

The company, which also changed its name to BT Ireland yesterday, said it would cut €15 off its customers’ bills by offering broadband and phone line rental for €49 per month. This compares with Eircom’s offering of around €65.

BT Ireland chief executive Bill Murphy said Ireland continued to suffer from a broadband deficit and the number of businesses and consumers signing up for high-speed internet access remained significantly lower than it should be. “We’ve promised we’ll bring change and choice to the market,” he said.

BT group chief executive Ben Verwaayen, who has overall responsibility for BT’s worldwide operations, said the low-level of broadband penetration in Ireland showed there was “something odd” about the market here. Mr Verwaayen said Ireland had enjoyed a reputation for being a technological leader until recently. But it had fallen behind other countries where broadband had become as widely available as tap water, he said.

Mr Murphy said the changeover to BT Ireland aimed to send out a clear message to customers that the company’s Irish operations planned to capitalise on the strength of its parent. BT bought the Esat Group in 2000 and now employs 930 people in Dublin, Cork, Limerick, Galway and Waterford.