BT is merging its Openworld high-speed internet service into a new joint venture with Yahoo!
The move, which comes as BT pledges to put broadband at centre of its strategy, will see the creation of a new endeavour called BT Yahoo! Broadband. The co-branded service will give BT Openworld users access to a range of Yahoo! content and features including its advanced SpamGuard filter and messenger service.
BT Yahoo! Broadband, which is designed to be the first integrated service of its kind in Europe, will compete directly with AOL and Freeserve by offering subscribers access to previously unavailable applications and services.
It will be available to new customers from September, with existing BT Openworld broadband customers making the transition in a phased programme.
Commenting on the initiative, Pierre Danon, CEO of BT Retail, said: “With such a compelling product I believe this will provide a significant boost to our broadband sales. For customers to get the most out of the internet, several factors are crucial. Access must be safe and fast, use must be personalised and flexible and content must be exciting, engaging and imaginative. By joining with Yahoo! we can satisfy all of these criteria, as well as providing customers with support from two world class organisations.”
Terry Semel, chairman and CEO, Yahoo!, added: “We believe that the powerful combination of Yahoo!’s world-renowned brand and BT’s leading market position can help drive increased DSL adoption in the UK.”
New figures from communications regulator, Oftel, recently revealed that the number of broadband internet homes in the UK has reached two million, with new connections running at 35,000 every week (see UK Broadband Reaches Two Million Homes). Research also shows that fierce competition in the market for high-speed internet access means that UK consumers pay some of the lowest prices in Europe for residential broadband services (see UK Consumers Pay Less For Broadband).
