The three year deal will see OneTel transfer its customer base to Easynet's broadband network. Easynet currently offers speeds of up to 8MBps and is trialling services at speeds as high as 24MBps.
"The partnership with Easynet will allow us to deploy next generation broadband services and benefit from Local Loop Unbundling economics," said Ian El-Mokadem, managing director at Onetel
Easynet is able to offer broadband services because BT, which owns the exchanges the data flows through, was forced to let other telecommunications firms install their equipment in its exchanges – a process referred to as Local Loop Unbundling (LLU). So far Easynet claims to have 90 per cent of LLU broadband lines in the UK, covering 70 per cent of the country.
"Onetel says it chose Easynet for a combination of its competitive pricing and its portfolio of bandwidth services, which is wider than BT's," said Michael Philpott, analyst at Ovum.
"The wholesale service is approximately 30 per cent cheaper than BT, and Easynet already offers DSL up to 8Mbps, with a trial of 24Mbps also under way. Onetel is intending to migrate existing broadband customers in the areas where Easynet has a LLU footprint, thereby saving on costs."
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