BSkyB Confirms "No Frills" Broadband Deal With BT


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In an effort to put pressure on its cable rivals, BSkyB has generated a deal with BT Retail to offer its users access to ADSL "on special terms" according to a report by Netimperative.

The 'no-frills' broadband package, BT Broadband, will be offered to Sky subscribers in direct competition with the 'all-in-one' phone, Internet and TV offerings of rival companies NTL and Telewest.

Announced with the satellite broadcaster's annual results this morning, the deal mirrors BT's discounted offering of Sky's services to its customers, but details are still sketchy.

A spokesperson for Sky wouldn't elaborate on how it will be billed, priced or branded and - even though the company has demonstrated the service on a prototype, broadband-ready set-top box to analysts - whether the service will be accompanied by a commercial roll-out of such a device.

However, the company said the product would be available to its subscribers on "special terms", and would "ensure that Sky subscribers have access to a highly competitive offering as demand for broadband internet access develops."

The deal will come into effect with a commercial launch "later this year", supported by a "variety of marketing and advertising initiatives". Sky.com will also now feature among the websites on the BT Broadband portal, which points users towards the telco's content partners.

Although a more expensive option than offerings from smaller providers, the 'no-frills' broadband product undercuts similar packages from major players in the market such as Freeserve and AOL.

SOURCE: Netimperative

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