Competition in the telephone call market is set to hot up with Hutchison Telecommunications' launch yesterday of a service costing 16 per cent less than Hongkong Telecom.
Hutchison, the telecoms arm of Li Ka-shing's Hutchison Whampoa, is the last of the new fixed-line rivals to Hongkong Telecom to begin offering local services. New T & T and New World Telephone are the others.
Hutchison said it believed its 'Network Eight' service could grab up to a quarter of the fixed phone market in the long-term.
Managing director Dennis Lui said business users would be charged $88 a month for a basic line, compared with $104.60 charged by Hongkong Telecom.
The service would initially be available in high-density business districts between Sheung Wan and Quarry Bay.
The company hopes to extend the service to residential users by April and plans to undercut Hongkong Telecom's $67 monthly residential line charge, though it will not release prices at the moment.
