3 July 2006
Satellite broadcaster BSkyB is planning to launch an attack on the home phone market with an internet telephony service, according to a newspaper report.
The Times, which is also owned by BSkyB shareholder News Corporation, claimed that the company hopes to launch a low-cost voice over internet protocol (VoIP) telephone service.
A move into VoIP technology could help the company recruit consumers to its other services, such as digital TV.
BSkyB faces growing competition from the increasing number of Freeview-only households, and will come under added pressure once wide-spread IPTV services are launched at the end of the year.
If the VoIP service launches, BSkyB will join the ranks of several other British firms offering branded IP telephony services - including Tesco and Tiscali.
VoIP services are set to challenge traditional home phones in the not too distant future, according to a report by JupiterResearch.
It found that 17% of consumers in Europe are already interested in VoIP telephony.
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