TeleBermuda International

In the last week of July, users of Bermuda's second-largest Internet services provider (ISP), North Rock, had all their outgoing e-mails delivered to the trash, instead of the intended recipients. The senders were not told this had happened until a local newspaper forced North Rock's hand. They had not been told on the “many” previous occasions that their e-mails had been lost.

The internet has proved to be enormously popular in Bermuda, with the island recording one of the highest take-up rates in the world. One reason for that is the large number of international companies we have. With the internet a standard feature on the modern office desk, people here quickly became used to the idea and extended their connectivity to their homes. Another reason is that we are 800 miles from anywhere. Any kind of connection to the world is welcome. With the Atlantic Ocean between the 60,000 of us and anyone else, we are desperate for contact. For instance, we gladly pay more than $100 a month for intermittent cable television.

Telecommunications Review in Bermuda-Caribbean region: Bermuda continues to offer by far the cheapest overseas telecommunications rates compared with its rival offshore jurisdictions in the Caribbean, we can disclose. While rates have generally fallen in many islands since our last survey in April, 1997, the gap between Bermuda and the pack remains huge, largely due to the introduction of competition for international calls. 

Telephone and fax rates in Bermuda, already the lowest of its rival offshore domiciles in the Caribbean, are set to come down even further now that government has introduced competition for both local and overseas services.UK-based Cable & Wireless has long held a monopoly on overseas telephone voice calls and the locally-owned Bermuda Telephone Company (Telco) has had a monopoly on local calls.But TeleBermuda International, which is backed by Canadian interests, was in January of this year given a licence to compete with C&W for overseas calls and local businessman Ken DeFontes has been granted a licence to compete with Telco.

Cable & Wireless is suing the Bermuda government for breaking its monopoly on international calls by granting a licence to newly-formed rival TeleBermuda International. TeleBermuda plans to begin operating next month and is threatening to slash overseas rates by up to 17 per cent for calls to some countries. Sources in Bermuda say Cable & Wireless have not ruled out the possibility of applying for an injunction to prevent TeleBermuda from offering their service until the legal dispute has been determined by Bermuda Supreme Court.