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Telecom Italia: new ADSL offering for alternative carriers and Internet Service Providers

03/16/2002 - 12:00 PM

Prices reduced by up to 45%

Telecom Italia has received approval from the Communications Regulatory Authority and is now implementing its new ADSL Wholesale offering for up to 640 Kb/s bandwidth. The latest price list has been devised to strongly accelerate broadband take-up in Italy: significant price reductions (up to 45%), high quality, and improved standards of service. Most carriers and ISPs can be connected within just five days.

Telecom Italia has begun commercialization of its new offering targeted at carriers and Internet Service Providers: acquisition of ADSL at up to 640 Kb/s (broadband quality) at discounts of up to 45%, significant quality improvements and more efficient service standards.
The new offering is built upon a particularly wide range of modular packages (from a minimum of 10 to a maximum of 500 accesses per Area) and bandwidth availability (from a minimum of 256Kb/s to a maximum of 40Mb/s peak) at significantly lower prices.
Carriers now have the option of aggregating a number of small capacity lots acquired over time into single larger lots, with the consequent benefit of significant cost reductions and greater flexibility in planning for investments and service diversification. This option will also bring down initial costs for start-up companies keen on entering the ADSL market, as well as promoting diffusion of broadband services in general. Telecom Italia´s marketing strategy provides for a plurality of offerings for different target clientele groups. Major concessions are now available to encourage ADSL market start-ups and further growth: subscription fees are completely waived for individual lots for the month after delivery, followed by a 65% reduction for the second month and 35% reduction for the third month. The full lot fee is only levied from the fourth month onwards.
Installation standards have also undergone significant improvement. The company has worked hard to ensure that in most cases the service is supplied to carriers and ISPs in just five working days.
Connection costs to Telecom Italia broadband exchange nodes (ATM gateways) are now 20% cheaper than before. This move, allied to the recent reduction in prices for Wholesale Direct Circuits, will without doubt boost the wholesale market in Italy.
Telecom Italia Domestic Wireline Manager Riccardo Ruggiero comments: "This new offering dramatically reduces the costs competitors sustain to acquire ADSL (broadband), and marks a major turning point in a market that is strategic for the entire nation and its business.”