BT Ireland
Encyclopedia
BT Communications Limited is a telecommunications and internet
Internet
The Internet is a global system of interconnected computer networks that use the standard Internet protocol suite to serve billions of users worldwide...

 company in Ireland
Ireland
Ireland is an island to the northwest of continental Europe. It is the third-largest island in Europe and the twentieth-largest island on Earth...

. It is a subsidiary of BT Group plc.

Esat Telecom

The company was founded in 1990 by Denis O'Brien
Denis O'Brien
Denis O'Brien is an Irish businessman with international connections. An Arts graduate of University College Dublin, O'Brien has received a MBA in corporate finance from Boston College in 1982, and was later given an honorary doctorate by University College Dublin.O'Brien has involvement with...

, and was originally known as Esat Telecom. The name Esat - said to be an abbreviation of "Éireann Satellite" and connected to O'Briens bid for Ireland's communications satellite licence under the 1977 ITU frequency plans - would become much more associated with telcommunications in Ireland however.

Esat Telecom applied a number of times for a telecommunications licence to the Department of Communications and was finally granted a limited one in March 1993. The company officially launched its services on 20 April 1994. It was the first domestic competitor to Bord Telecom Éireann
Telecom Éireann
Telecom Éireann, or formally Bord Telecom Éireann - The Irish Telecommunications Board, was created by the Postal & Telecommunications Services Act, 1983 from the Department of Posts and Telegraphs, Ireland, under the leadership of the Minister for Posts & Telegraphs...

 (now Eircom
Eircom
Eircom Group LTD is a telecommunications company in the Republic of Ireland, and a former state-owned incumbent. It is currently the largest telecommunications operator in the Republic of Ireland and operates primarily on the island of Ireland, with a point of presence in Great Britain.As Bord...

), and after initially reselling leased lines from that company used "autodiallers" to route calls onto its network. These devices proved controversial, with Telecom threatening legal action and the Department contending that these were a breach of Esat's limited licence. However an Esat complaint to the European Commission
European Commission
The European Commission is the executive body of the European Union. The body is responsible for proposing legislation, implementing decisions, upholding the Union's treaties and the general day-to-day running of the Union....

 was upheld, and eventually in 1997, the new Director of Telecommunications Regulation
Commission for Communications Regulation
The Commission for Communications Regulation is the general communications regulator for the Republic of Ireland, covering almost all possible types of communications....

 (now called ComReg) regularised Esat's position by ordering Telecom Éireann to provide a service to switch calls onto Esat's network.

In 1996, Esat Telecom, in conjunction with Telenor AB, bid successfully for the second GSM mobile telecommunications licence, against five other consortia. This became known as Esat Digifone.

On 7 November 1997, Esat Telecom Group plc held an initial public offering and was listed on the Irish Stock Exchange
Irish Stock Exchange
-History:The Irish Stock Exchange is Ireland's only stock exchange and has been in existence since 1793. It is an Irish private company limited by guarantee. It was first recognised by legislation in 1799 when the Irish Parliament passed the Stock Exchange Act...

, London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...

, and NASDAQ Stock Market
NASDAQ
The NASDAQ Stock Market, also known as the NASDAQ, is an American stock exchange. "NASDAQ" originally stood for "National Association of Securities Dealers Automated Quotations". It is the second-largest stock exchange by market capitalization in the world, after the New York Stock Exchange. As of...

.

Originally the company targeted just corporate customers, however from 1 December 1998, when the Irish telecommunications market was fully deregulated, domestic customers were also targeted, under the Esat Clear brand name. 1,300 customers signed up before it had even launched. In 1999, Esat entered the Internet Service Provider
Internet service provider
An Internet service provider is a company that provides access to the Internet. Access ISPs directly connect customers to the Internet using copper wires, wireless or fiber-optic connections. Hosting ISPs lease server space for smaller businesses and host other people servers...

 market, initially through the purchase of EUnet Ireland, which became Esat Net. However it was the acquisition of Ireland On-Line
Ireland On-Line
Ireland On-Line is a large ISP in the Republic of Ireland, and is owned by BT Ireland. The largest internet service in Ireland is eircom. It was the first commercial internet service provider in the state. The company is one of Ireland's largest ISPs and offers email in addition to other Internet...

 from An Post
An Post
An Post is the State-owned provider of postal services in the Republic of Ireland. An Post provides a universal postal service to all parts of the country as a member of the Universal Postal Union...

 that year which made Esat the biggest ISP in the country for a time. Also in 1999, Esat bid for Cablelink Limited, the cable and television company owned jointly by Telecom Éireann and RTÉ
RTE
RTÉ is the abbreviation for Raidió Teilifís Éireann, the public broadcasting service of the Republic of Ireland.RTE may also refer to:* Recep Tayyip Erdoğan, 25th Prime Minister of Turkey...

. However they were defeated in this by NTL
NTL Ireland
NTL Communications Limited was a cable television and Multichannel Multipoint Distribution Service company in the Republic of Ireland. As of 2005 it was owned by Liberty Global Europe , having been divested by NTL...

. In 1999 Esat Telecom was the first wholly owned Irish company to lay two optical submarine cables between the Republic of Ireland and the UK. No other company had achieved such a milestone and since then only operators from outside the state have managed to install their own optical submarine cables.

Esat BT

In 1999, relations became tense between Esat and Telenor
Telenor
Telenor Group is the incumbent telecommunications company in Norway, with headquarters located at Fornebu, close to Oslo. Today, Telenor Group is mostly an international wireless carrier with operations in Scandinavia, Eastern Europe and Asia, working predominantly under the Telenor brand...

 over how Esat Digifone, their mobile joint venture, should be operated. Telenor tried to remove Denis O'Brien as chairman of Esat Digifone and remove the Esat name from the company. Esat for its part retaliated by threatening to sue Telenor, and making repeated offers to buy the Norwegian company out. Eventually, in November 1999, Telenor bid for the entire share capital of Esat Telecom Group plc as a way of solving the situation. The bid was rejected by the Esat board and so became a hostile takeover attempt. In order to defend this, in January 2000, British Telecommunications plc (now BT Group plc) made a friendly takeover offer for the company which was backed by the Esat board. Esat became a wholly owned subsidiary of BT and was delisted from the stock market.

When BT acquired Esat, they began integrating the business along with its Northern Ireland
Northern Ireland
Northern Ireland is one of the four countries of the United Kingdom. Situated in the north-east of the island of Ireland, it shares a border with the Republic of Ireland to the south and west...

 subsidiary, BT (NI). The combined unit was then registered as BT Communications (Ireland) Limited.

The company's main business is in fixed line telcommunications where it owns its own network in Northern Ireland
Northern Ireland
Northern Ireland is one of the four countries of the United Kingdom. Situated in the north-east of the island of Ireland, it shares a border with the Republic of Ireland to the south and west...

 and owns a network built along the Iarnród Éireann
Iarnród Éireann
Iarnród Éireann is the national railway system operator of Ireland. Established on 2 February 1987, it is a subsidiary of Córas Iompair Éireann . It operates all internal intercity, commuter and freight railway services in the Republic of Ireland, and, jointly with Northern Ireland Railways, the...

 rail network in the Republic of Ireland
Republic of Ireland
Ireland , described as the Republic of Ireland , is a sovereign state in Europe occupying approximately five-sixths of the island of the same name. Its capital is Dublin. Ireland, which had a population of 4.58 million in 2011, is a constitutional republic governed as a parliamentary democracy,...

 and along the road which complementes its rail network. The network build phase started in August 1997 and its also leases capacity off fixed line incumbent, Eircom
Eircom
Eircom Group LTD is a telecommunications company in the Republic of Ireland, and a former state-owned incumbent. It is currently the largest telecommunications operator in the Republic of Ireland and operates primarily on the island of Ireland, with a point of presence in Great Britain.As Bord...

.

Following the company's acquisition by BT, Esat Telecom was rebranded as Esat BT in 2002, and replaced its own logo with the BT piper. (Ironically, BT itself dropped the piper logo shortly after, meaning that Esat BT also used a different logo from its parent).

BT Ireland

In late 2004, it was announced from April 2005, the name of the company would change from "Esat BT" to just "BT Ireland". The company has performed well, winning some high profile corporate clients. However Eircom
Eircom
Eircom Group LTD is a telecommunications company in the Republic of Ireland, and a former state-owned incumbent. It is currently the largest telecommunications operator in the Republic of Ireland and operates primarily on the island of Ireland, with a point of presence in Great Britain.As Bord...

 still commands over a 73% monopoly on fixed-line telecommunications in the Republic of Ireland
Republic of Ireland
Ireland , described as the Republic of Ireland , is a sovereign state in Europe occupying approximately five-sixths of the island of the same name. Its capital is Dublin. Ireland, which had a population of 4.58 million in 2011, is a constitutional republic governed as a parliamentary democracy,...

. In Northern Ireland however, the opposite is the case, where BT Ireland still hold dominance as the former incumbent fixed-line telco, and Eircom NI is a new challenger, rolling out its own network.

All company names in the Esat BT Group were officially re-registered with the Companies Registration Office as BT in March 2005, and on 12 April, the company was officially rebranded as "BT Ireland".

On 22 July 2009 BT Ireland agreed to transfer most of its consumer and small business operations in the Republic of Ireland, other than its remaining dial-up internet
Internet
The Internet is a global system of interconnected computer networks that use the standard Internet protocol suite to serve billions of users worldwide...

 operations, to Vodafone Ireland
Vodafone Ireland
Vodafone Ireland Limited, part of the Vodafone Group, is the largest mobile phone company in Ireland in terms of active subscribers, and was previously called Eircell. The mobile phone system in use is a digital GSM 900 system, and also a third-generation UMTS system...

. Large industrial
Industry
Industry refers to the production of an economic good or service within an economy.-Industrial sectors:There are four key industrial economic sectors: the primary sector, largely raw material extraction industries such as mining and farming; the secondary sector, involving refining, construction,...

 and commercial
Commerce
While business refers to the value-creating activities of an organization for profit, commerce means the whole system of an economy that constitutes an environment for business. The system includes legal, economic, political, social, cultural, and technological systems that are in operation in any...

 customers will remain with BT. Under the partnership Vodafone will provide voice and broadband internet services over BT's network. The deal is subject to Competition Authority approval.

Esat Digifone

Esat Digifone
O2 Ireland
Telefónica Ireland is a broadband and telecommunications provider in Ireland. The company is marketed and trades as O2...

, a GSM mobile phone network which was the first competitor to Eircell
Vodafone Ireland
Vodafone Ireland Limited, part of the Vodafone Group, is the largest mobile phone company in Ireland in terms of active subscribers, and was previously called Eircell. The mobile phone system in use is a digital GSM 900 system, and also a third-generation UMTS system...

 (then a Telecom Éireann
Telecom Éireann
Telecom Éireann, or formally Bord Telecom Éireann - The Irish Telecommunications Board, was created by the Postal & Telecommunications Services Act, 1983 from the Department of Posts and Telegraphs, Ireland, under the leadership of the Minister for Posts & Telegraphs...

 subsidiary) was originally a joint venture between Esat Telecom and Telenor
Telenor
Telenor Group is the incumbent telecommunications company in Norway, with headquarters located at Fornebu, close to Oslo. Today, Telenor Group is mostly an international wireless carrier with operations in Scandinavia, Eastern Europe and Asia, working predominantly under the Telenor brand...

, however when Esat was sold to BT, the mobile division became part of BT Wireless, which was eventually spun off as O2
O2 plc
Telefónica Europe plc is a European broadband and telecommunications company that trades as O2 . The company originated as a collection of worldwide telecommunications companies, known in the later half of the 1990s as BT Wireless, and a global mobile data business known then as Genie Internet,...

, which in turn was bought http://www.theregister.co.uk/2005/10/31/o2_telefonica/ by Spanish-based Telefónica
Telefónica
Telefónica, S.A. is a Spanish broadband and telecommunications provider in Europe and Latin America. Operating globally, it is the third largest provider in the world...

 in 2005 (EU approved http://www.theregister.co.uk/2006/01/11/o2_eu_roam/ in 2006). The company is now officially registered as Telefónica O2 Ireland Limited, but trades as O2.

See also


External links

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