Tele2 cuts Pink Elephant's Net costs

Pink Elephant - a provider of IT management services - claims to have cut its Internet access costs by 83 per cent after opting for a digital wireless service from Tele2.

A Tele2 Speedbox provides up to 80 users with an 'always on' connection to the Internet at speeds of between 128Kbps and 384Kbps.

Pink Elephant, owned by the Dutch PinkRoccade Group, said the 384Kbps leased line connection Pink Elephant had previously been considering would have cost £20,000 - as opposed to £3,420 for the Tele2 service.

Tele2 directs its service at small businesses and home workers in the Thames Valley region, but has forecast national coverage of 60 per cent by 2003.

One current Tele2 customer told Silicon.com it gets good connection speeds and service, but said penalties for over-stepping pre-arranged usage rates could be costly.