PlusNet numbers boost BT broadband market share

BT claims to be Britain's favourite retail broadband provider, boasting 245,000 new customers in the first quarter of this year

BT claims it is now Britain's “favourite” retail broadband service provider, with 3.66m customers and a 26 percent share of the overall market.

The carrier also reported positive financial results for the first quarter of 2007, with overall revenue across the BT Group up three percent year on year.

BT Retail signed up another 245,000 customers in the first quarter of 2007, adding to the 195,000 customers gained through its acquisition of rival broadband provider PlusNet at the end of last year.

While BT's financial figures are not spectacular, Ovum analyst Mike Cansfield says they are entirely consistent with an established profitability.

"Over the past few years we have seen that BT can successfully grow revenues by up to 5 percent each quarter, largely on the back of ICT and broadband," Cansfield said in a research note.

BT has set itself ambitious targets to increase its profitability over the next few years, both through extensive restructuring of its network and organisation, and by selling new services, such as fixed mobile convergence (FMC) and IPTV.

"Transforming the internal workings of the company is complex but manageable. What will be just as challenging for BT is to explain to its wholesale and retail customers the full range of its new capabilities," added Cansfield.