Comdex '99: IDC predicts sharp fall in UK phone charges

The cost of using the Internet in the UK is about to fall sharply, as local flat rate charging schemes start to come online in the next eighteen months, according to IDC analyst, Mark Winther.

Speaking at an 'Ask the Analysts' session at Comdex this week, Winther said "we will see local flat rate, we may even see free phone services in Europe. There are lots of free phone services in the US now. You have to look at it country by country...I would look at the UK, I would look at Sweden, two highly deregulated, highly competive markets". France and Germany will follow this trend more slowly.

Earlier at the same session, IDC's Senior Vice President, Frank Gens was asked if he believed dot com companies need to succeed in Europe and the rest of the world to justify their sky high Wall Street valuations. "I don't know what investors put into the values of dot companies. My guess is that they probably aren't thinking a lot about global. Most of the market place probably thinks of the US as where the action is and even the largest dot com companies don't have the resources to really be global at this point... my sense is that that is all upside if you can even imagine it" he said.

For full coverage, see the Comdex '99 Special Report .