Smart and UPC increase broadband speed to rival Eircom

TWO COMPANIES have significantly increased the speeds of their broadband services in attempts to make them more attractive alternatives to Eircom.

Smart Telecom and cable TV operator UPC Ireland, the new parent company of Chorus and NTL, are offering new products with faster broadband speeds.

Smart's fastest product is a 15-megabyte service for €45 a month, or €70.36 including line rental, while UPC is offering a 12mb service for €40 a month.

This compares with a €169 monthly business package offered by Eircom for a 12mb service, which is available through 40 telephone exchanges in Dublin.

Most UPC broadband customers are already subscribers to its TV service, though the broadband package can be purchased on its own.

Up to now commentators have said that the lack of effective competition from a cable operator has been one reason why broadband penetration has been low in Ireland compared to other countries.

UPC is investing €150 million in its network, which will enable it to offer digital TV, broadband and telephone services to all its customers. UPC broadband is available to just over 400,000 homes, predominantly in Dublin, Galway, Waterford, Limerick and Cork.

Smart is available to more than 550,000 homes in Dublin, Cork, Donegal, Galway, Laois, Limerick, Louth, Sligo and Waterford.

While broadband penetration has grown at amongst the fastest rates in Europe over the last 18 months, Ireland still compares unfavourably in terms of the speed and price of services.

Smart's residential packages start at €40.36 a month, including line rental, for a 4mb service, €45.36 for 6mb, €50.36 for 8mb and 10mb for €60.36.

Smart is the only Irish company with a Next Generation Network which has no line sharing. Broadband speeds of more than 10mb offer sufficient bandwidth to carry images, voice and TV or video.

Pio Murtagh, Smart's chief operating officer, said: "Report after report continues to lament Ireland's lack of broadband uptake and lack of speeds." The company's new packages would benefit "everybody from the typical family users, avid music downloaders, 'Facebookers', 'Bebo-ites', right up to photographers, designers and gamers", he added.

UPC's entry level 1mb service costs €20. The new speeds will be introduced for new customers from April.

Ronan Gallagher, product manager of UPC, said: "The broadband debate in Ireland is now shifting from just being around availability to also include quality. Cable will continue to deliver real broadband speeds that support how consumers use the internet today and into the future." He said DSL services delivered over phonelines and mobile broadband would not match the speeds offered by cable for the same price. UPC last week said it has more than 80,000 broadband customers and claims to be second only to Eircom.

Mobile operator 3 has launched a prepaid broadband service, which offers access for a day for €5, a week for €10 or a month for €25. The company already offers a bill-paying service.