22/07/09: BT and Vodafone Agreement

Published 12/04/2005 16:26   |    Updated 22/07/2009 13:38

BT and Vodafone agreement to significantly boost Competition and Network Investment in the Republic of Ireland

Consumers and small businesses in Ireland will benefit from greater competition and choice, following a strategic partnership agreed between BT and Vodafone.  The landmark contract will also result in the creation of an alternative, competitive telecoms network in Ireland.  

Under the terms of the agreement, which is subject to approval from the Irish Competition Authority, BT will transfer its consumer and small business broadband and voice customer base to Vodafone and will also provide wholesale network services to underpin Vodafone’s business over a seven-year period.  BT will continue to focus on becoming the number one provider of networked IT services to mid and large sized businesses and the public sector in Ireland.  

BT will also be committing significant investment towards building an advanced network infrastructure and improving broadband speeds in Ireland.  It will provide a platform for the delivery of up to 24Mbps broadband services to approximately two thirds of Ireland’s available broadband lines by unbundling up to 58 additional exchanges.  To date, BT has already unbundled 22 exchanges in the Republic of Ireland.

The partnership combines Vodafone’s strength in sales, marketing and distribution with BT’s expertise in the successful delivery of managed network services.  Over 84,000 consumers and 3,000 small businesses currently with BT will transfer to Vodafone over the next several months, where they will benefit from access to a wide range of innovative converged services from a leading total telecommunications company.

Chris Clark, CEO, BT Ireland said “This is a very positive chapter in Ireland’s telecoms history and will open up the market to greater competition and choice.  BT has made remarkable strides in Ireland in recent years in securing landmark managed services deals with corporate customers, the public sector and other communications providers.  We will aggressively focus on growing our impressive share of these market segments, while investing in the network access that customers and Ireland Inc. need to compete effectively.”

Charles Butterworth, CEO, Vodafone Ireland said “This announcement will give Vodafone the ability to launch an exciting and innovative roadmap of fixed products and services that are strongly differentiated from those available in the market today, giving customers more choice and better value. This deal strongly positions Vodafone as the no 2 player in the fixed broadband market. Our strategy is to compete aggressively in the fixed market to deliver real value, bring best-in-class products to market and build a sizeable fixed base to rival other participants in this market. We guarantee that BT customers who are transferring to Vodafone will be better off as a result of this agreement.”

 

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