BT Ignite has embarrassed its parent company by signing a voice and
data provision contract with one of British Telecom's rivals,
Thus.
Details of the contract with the ScottishPower-owned telco have not
been confirmed. It is a significant deal, however, which could
herald greater competition in the telecoms arena.
Judy Jerome, IT information analyst at Bloor Research, welcomed the
news. "My initial reaction is I'm shocked BT Ignite is able to do
this; and very, very pleased because this is how the market should
be," she told CW360.com.
BT is clearly embarrassed by the news. The company initially denied
all knowledge of the deal, but later admitted that a contract with
Thus did exist.
Thus, however, told CW360.com: "There certainly is a contract, but
we are not able to give any further details other than to say we
have signed it and it is for voice and data [provision]."
Bloor's Jerome believes the contract could provide Thus with a new
lease of life. "From Thus's point of view, it needed a major
injection of revenue to keep itself going, and this may be it," she
said.
Jerome also thought that the move could ultimately prove to be a
positive one for BT because it may force the company to operate
differently.
"BT has a lot to answer for. It needs to sit back and see where its
position is on ISPs and offering Internet services. It may make BT
more responsive," she said.