Reply to post: Re: I can handle a couple more subscriptions @Tom 38

HBO shocks US pay TV world: We're down with OTT. Netflix says, 'Gee'

Tom 38

Re: I can handle a couple more subscriptions @Tom 38

Something strikes me as illogical. In your own words, the cost of provisioning the line is the same, so what does it matter if the user does voice or voice + data, or data only? It should cost the same.

A voice line has the potential for extra revenue (voice calls). A data line has no potential for extra revenue, because the data portion is rented by BT to your ISP, they can make no money from it.

I think what you want to say is that voice subsidizes data by sharing a part of the line cost. In that case, a fair pricing structure would show copper maintenance as a line item, and voice and data as add-ons, as they are.

That is exactly what is happening. Made up numbers - a line costs £15/month. If you take data, BT make no revenue from you and do not subsidize the line. If you take voice, BT do make revenue from you, and subsidize the line by £3 a month.

Data line: £15 + £0 = £15

Voice line: £15 + -£3 = £12

This is hardly rocket science.

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