Press & PR

There is no need for the telecoms giants to be split up - as would be the case under new European Union (EU) proposals - according to the Competition Commissioner Neelie Kroes.

Ms Kroes told the European Parliament that there is still a great deal of competition in the marketplace, which will go on under the present set-up.

Moreover, charges have also dropped dramatically due to more service providers entering the networks, she stated.

New services have been rolled out in a number of different services, such as internet and voice channels, plus new fibre networks, the official added.

"With increased competition, (telecoms) prices have decreased substantially. I'm not saying that's the end of the story but it is a big movement in the price field and new services are being developed and are going to be developed," she commented.

The EU telecoms chief Viviane Reding said that the best way to improve competition in the sector would be via a separation of the networks.

Currently, there are a number of good deals available to consumers, such as those from Vonage. The firm offers a better telephone service for less by charging a low-cost, fixed monthly fee which provides unlimited calling to the UK and around the world, with cheap international calls.