BT slashes rural broadband cost

BT has cut the price of one of its wholesale broadband products in a bid to extend high-speed internet access to remote areas of the UK.

Its ADSL Exchange Activate product lets ISPs buy ADSL connections (in batches of 30) in telephone exchanges that currently have no trigger level set.

When BT launched the product in July 2003 it cost ISPs an up-front payment of £45,000 for 30 users for a three year period. BT has now cut the up-front payment to £25,000.

Charges for additional blocks of 30 users have been reduced from a flat £30,000 payment to £10,000 plus connection and line rental fees.

According to BT, its new pricing structure is aimed at bringing broadband to some of the UK's smallest and most remote communities.

Last year, BT claimed that 100 per cent broadband coverage of every UK community would be achievable by 2005 if the government and industry pull together.

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