Czech Telecom Gets Ready to Provide ADSL Service

Czech Telecom announced a public tender for ADSL (Asymmetric Digital Subscriber Line) technology.

by Petr Koubsky of internetnews.com [November 14, 2000]

Czech Telecom put out public tender for supplies of ADSL (Asymmetric Digital Subscriber Line) technology and announced the completion of a pilot project and its ability to offer ADSL to its customers in the near future.

The ILEC has a head start, but others are in the race
Czech Telecom is the local incumbent telecoms operator with a dominant position in voice services and a siginificant market share in data transmission and Internet access. It is part-owner of one of the three Czech mobile phone networks (through its 51 percent stake in GSM operator EuroTel).

Czech Telecom's state-guaranteed monopoly in long-distance is due to end on January 1, 2001.

Czech Telecom is therefore seeking new business opportunities. ADSL seems to be logical choice: the demand for broadband Internet access is growing steadily as e-business penetrates the Czech economy.

Prices for ADSL are expected to make household usage affordable. According to sources close to Czech Telecom, the company plans to start offering commercial ADSL in the second half of 2001. The pilot flies
Czech Telecom recently finished a pilot project designed to test the viability of ADSL on the local phone network, which is very obsolete in some areas. Tests took several months and were reportedly successful.

Czech Internet users thus can expect affordable broadband access in 2001. Competitors of the unpopular but efficient local telco have to worry. None have announced plans for ADSL or any other form of broadband Internet access.

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