BT and Tata Communications ink five-year IDD traffic agreement

26 Jun 2009

British fixed line and broadband incumbent BT Group and Indian telecoms firm Tata Communications have signed a major voice services agreement that the two companies say will allow them to ‘mutually benefit from shared resources as part of a global supply arrangement’. Under the terms of the five-year agreement Tata Communications will become BT’s primary supplier of International Direct Dial (IDD) and other voice termination services outside BT’s own footprint countries. In turn, BT will become Tata’s primary distribution channel for its IDD traffic in the UK; expansion to other European markets is expected in the future. Both operators have expressed hopes that the agreement will allow them to reduce costs and benefit from the strengths of each respective company. Brian Fitzpatrick, managing director of BT Wholesale Markets, said of the deal: ‘Tata Communications is a leader in the international wholesale voice business, making them a perfect partner to help us achieve additional economies of scale to those of our own. We look forward to maximising the opportunities this relationship presents to both organisations as we expand our portfolio of wholesale products and services and ultimately strive to become even more competitive with our pricing.’

India, United Kingdom, BT Group (incl. Openreach), Tata Communications