More Worries for Eircom

Cork

According to last nights evening echo:

http://www.vartec.ie

Vertec Telecom is operating Here.


Wth Eircoms big losses and new competitors - Investment in broadband may be not be at this side of Christmas.

Dangger

Well Eircom have managed to keep them away for almost two years!!

Fulll story here - Sunday Business Post - Gavin Daly

A new entrant to the consumer telecoms sector has slammed Eircom and the telecoms regulator for delaying its entry to the Irish market.

US firm Vartec Telecom said it could have introduced its service two years ago but was forced into a series of negotiations with Eircom and the regulator.

Vartec offers discounted calls to consumers by buying call time from incumbent operators and offering it at lower rates. The company launched its service in Britain in 1999 and had hoped to expand into Ireland soon afterwards.

The service was finally launched last week after several rounds of negotiation lasting over two years. "We faced many challenges in bringing this service to Ireland," said Vartec Europe managing director Michael Tarte-Booth.

"We should have been able to offer this service two years ago, but encountered a series of negotiations with Eircom and the regulator. We have overcome these and the benefits of telecoms deregulation are finally reaching the Irish consumer."

With no additional equipment, users just dial 13636 followed by the area code and the telephone number they want. They receive a regular itemised bill from Vartec, while line rental charges and calls using Eircom continue to be included in their Eircom bill.

Vartec offers a flat 3 cent a minute rate on local and national calls, although each call costs a minimum of 15 cent. The company claims that users can save up to 67 per cent on national calls, 76 per cent on international calls and up to 20 per cent on calls to mobiles.

A privately-owned US company, Vartec employs 3,000 people and had a turnover of over $2 billion last year. As well as its US operations, Vartec offers its service in Germany, Switzerland and Austria.

DeVore

Ah bejaysus shure failte go Oireland.

DeV.

Rags

Vartec offers a flat 3 cent a minute rate on local and national calls, although each call costs a minimum of 15 cent.

Does this mean we could be on the net for a few hours for only 15 cent?

SkepticOne

Assuming there's truth to this, now we know why there's so little competition. Two years to negotiate to gain access to a tiny market. How many others would be willing to put up with this. Now we know why so few companies have bothered to negotiate for FRIACO access. What is the point? They can just walk into countries like Britain and start competing. No "negotiations" and a much larger market (although far more competitive).

Dazzer

That looks like a good service for the mobile and peak time calls. I think all you have to do is use the prefix and Vartec get's your details from Eircom and send out the bill?

sunbeam

I think it means a 15c minimum charge per local/national call (for 3 minutes). After that they charge you at 3c per minute

Rags

I think it means a 15c minimum charge per local/national call (for 3 minutes). After that they charge you at 3c per minute

Oh that doesnt sound so good then. Cant see them getting far with those prices. More competition the better tho.

the Guru

Vartec offers a flat 3 cent a minute rate on local and national calls, although each call costs a minimum of 15 cent. The company claims that users can save up to 67 per cent on national calls, 76 per cent on international calls and up to 20 per cent on calls to mobiles.

LOL.......... if you stay on each call for an hour and you complain about eircom 15c even if you only stay on the call for 3 seconds thats taking the piss these companies are only good if you are staying on the line for a long time.

INTERESTING IF YOU COULD DIAL UP FOR THIS PRICE DURING THE DAY YOU COULD SAVE A LOT ????????

Richard Barry

Originally posted by Cork
According to last nights evening echo:

http://www.vartec.ie

Vertec Telecom is operating Here.

Far be it for me to pour a millilitre of cold water on anyone setting up in competition with eircom. However looking for the “devil in the detail”:

1. A local call on Vartec would be more expensive than eircom unless it lasted for about 8 minutes or more. How many local calls last that long on average? Does one know in advance how long they will last? How many calls last 30 seconds because the called party is not available and you have to call again?

2. A national call would have to last more than 3 minutes approx to be cheaper than eircom.

(In neither case taking into account eircom discounts etc.)

3. Has anyone tried the service yet – in terms of call quality. One wonders how they are terminating calls to Irish mobiles? Notice the 3 minute minimum on calls to mobiles.

4. The small print allows them to charge different rates to “territories of listed countries”. One wonders what this means in practice? Rates to domestic mobiles abroad and international mobiles vary. What does that mean? Surely if someone goes roaming they pay the roaming element of call costs? How are you or Vartec to know that the person is roaming anyway?

Have a look at the legals too! Particularly in relation to what they do with information on your identity and your traffic data (who you call and when and for how long you speak, etc).

R.

Cork

But you consider UTV are charging 7.03 per minute for a day time national call (+ set up charge) and Eircom charging 9.37 (before taking options into account) for a a day time national call.

Vertec seem good value at 3c per minute.

the Guru

How does that seem like good value when its a 15c set up charge per call

Vartec 1 minute call 15c
Eircom 1 minute call 4.4c

Eircom are 4.4c for the first miunte and 27 seconds how did you do the maths it is great if you are making long calls put in there service code first if you are going to call a frind then it will make sence but only weekdays 8 to 6 and then Eircom are only 1.27 c per minte local

yellum

Originally posted by SkepticOne
Assuming there's truth to this, now we know why there's so little competition. Two years to negotiate to gain access to a tiny market. How many others would be willing to put up with this. Now we know why so few companies have bothered to negotiate for FRIACO access. What is the point? They can just walk into countries like Britain and start competing. No "negotiations" and a much larger market (although far more competitive).

It would be nice to get a complete list of companies that tried to enter the market but gave up due to Eircom. Would the ODTR/COmreg have these details ?

Snaga

The guru - Taking that further....

Vartec 1 minute call 15c
Eircom 1 minute call 4.4c

Vartec 2 minute call 15c
Eircom 2 minute call 8.8c

Vartec 3 minute call 15c
Eircom 3 minute call 13.2c

Vartec 4 minute call 15c
Eircom 4 minute call 17.6c

Vartec 5 minute call 15c
Eircom 5 minute call 22c

Vartec 6 minute call 18c
Eircom 6 minute call 26.4c

The 15c is a minimum fee as opposed to a connection fee where you pay every minute in addition to the connection fee.

So your right in saying that you save more for longer calls, but you start saving after 4 minutes, youll generally know if your call will be 4 minutes or over. If it is, dial their extension first, if not, then dont.

Its choice. choice > no choice.

tuxy

didnt spirit offer much the same thing not so long ago they left because it was imposible to compete with eircoms monoply :mad:

pork99

Would the ODTR/COmreg have these details ?

dont think it makes any difference whether they have that information or not because they are a shower of vegetables