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May 3, 1988

MERCURY ADJUSTS ELECTRONIC MAIL CHARGES TO MAKE TELEX SERVICE MORE ATTRACTIVE

By CBR Staff Writer

Mercury Communications Ltd has reduced the cost of its Mercury Link 7500 dial-up electronic mail and telex service. Tariffs for the service, which can support a word processor, microcomputer, portable terminal or intelligent type-writer, together with a telephone and modem or acoustic coupler, have been reduced on average by 50%, effective from June 1. The Mercury Link 7500 electronic mail service provides low volume telex users, who would not require a dedicated installation, access to a telex service. In addition to electronic mail, the system offers a facility to convert and deliver text messages to facsimile machines, and access to a number of on-line information services. In order to make the telex service attractive to the low volume user Mercury combined low monthly subscription charges with high usage charges. However the high telex charges meant that the system has not been economically attractive to anyone but the low volume user and in an effort to redress the balance the company decided on a price cutting strategy. The cost of sending a telex to Europe falls tp 22 pence from 50 pence, and within the UK the price falls to tenpence from 25 pence. The reduction in tariff is coupled with an increase in the monthly subscription, which rises to UKP20 a month from UKP12, – still cheaper than British Telecom telex which is priced at UKP29.95 a month; the initial registration fee remains at UKP40.00. The Cable & Wireless Plc subsidiary believes that the new price structure will prove more attractive to the main-stream telex user, while remaining cheaper than its rivals.

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