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New AOL customers face increased prices
(25-05-07) - As many as 30% of new AOL broadband customers will face an increased subscription fee in the near future. (www.aol.co.uk)
The news came as AOL launched its LLU (Local Loop Unbundling) regional pricing campaign this week, which means that new customers who live in non-LLU areas will have to pay £10 more than those who live in an LLU region.
LLU is a process whereby multiple companies can use BT’s telephone exchanges to directly link to a customer’s house. This enables the company to deliver services directly to the customer, cutting out the BT middle-man.
Existing customers’ tariffs will not be affected by the changes.
AOL LLU exchanges will cover about 70% of UK households, so around 30% of new customers potentially face the affects of this price hike. And AOL broadband is now offering new contracts of 18 months rather than the previous 12.
The regional pricing for new AOL broadband customers is as follows:
AOL Silver: £14.99 a month in LLU areas; £24.99 a month in non-LLU areas.
AOL Platinum: £29.99 a month in LLU areas; £39.99 a month in non-LLU areas.
Chris Eagle, Commercial Manager at www.broadbandchoices.co.uk, commented: “It’s understandable that AOL is focusing on LLU areas given the cost of unbundling these exchanges, but – LLU or no LLU – any customer should think carefully about signing an 18-month contract as the market can change beyond recognition in that time. But AOL’s target audience won’t necessarily be put off by these changes.”
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