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(Nikkei BP Group)

(No.1 High-Tech News Site in Japanese)

  • AT&T; Jens Cuts Price of 1.5Mbps Internet Connection
  • March 18, 1999 (TOKYO) — AT&T; Jens Corp. on March 15 launched a three-month sales campaign offering its 1.5Mbps Internet connection service at about half the previous price, a company spokesman said.
    The sales campaign will continue until June 30. The company seeks to obtain 100 to 200 new customers in the three months, according to the spokesman.

    AT&T; Jens decided to cut the price by 50 percent for AT&T; WorldNet Managed InternetService because it had unused bandwidth in the daytime, following an increase in its number of circuits.

    “As a result of adding circuits at a brisk pace to accommodate increasing nighttime traffic of individual users, we now have unused circuit capacity in the daytime. We assume that many corporate clients will use our circuits mainly in the daytime. Thus we can maintain the quality of service even if we gain more corporate customers by reducing the service fees,” the company spokesman said.

    The 1.5Mbps Internet connection service enables users to remain linked to the Internet all the time.

    Nippon Telegraph and Telephone Corp. (NTT) offers its OCN Standard service, and other services are provided by competing regional common carriers.

    The monthly fee for the NTT service is 350,000 yen (118.21 yen = US$1) while the service of Tokyo Telecommunication Network Co., Inc. (TTNet) is priced at 321,000 yen.

    According to AT&T; Jens, the lower price of the service does not mean that service quality is reduced. The service is a regular IP connection service for dedicated circuits, with a far better throughput than NTT’s OCN service and other economy services, the AT&T; Jens spokesman said.

    The company believes that the service is highly competitive, the spokesman added.

    To compete with services provided by regional common carriers, the company said it plans to offer outsourcing and other value-added services.

    (Nikkei Communications)

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