Some companies are grappling with a new normal in business communication costs, digesting a substantial increase reflected in May’s Digicel Business bill.

Digicel has levied a 20 per cent increase in the “pricing structure” for their Digicel Business services, after a letter to some customers.

But it appears the 20 per cent increase is a nudge to those still using the outdated copper wire technology — a nudge to get with the programme and update their systems.

Digicel took control of BTC, Bermuda’s century-old telephone company nine years ago this weekend. There was a stated intention to invest in system upgrades and extensions, including updating the old copper wire network.

Liam Donnelly, chief executive officer of Digicel Bermuda, told The Royal Gazette Thursday: “We constantly aim to provide our customers with cutting-edge technology, like our broadband fibre services.

“To date, 75 per cent of our consumer customers are on fibre, and we encourage all our business customers to take advantage of our fibre services as well.

“Business customers relying on our legacy copper network services would have received a 20 per cent increase driven by the higher costs to operate an old/legacy network.”

In a recent letter to customers, he accepted that the increase would be unwelcome, but told them it was a “moderate increase in our service charges”.

The letter to his clients said: “As you may recall, Digicel previously communicated our intention to periodically review and adjust our prices to ensure our continued delivery of high-quality services and support you have come to expect from Digicel Business.

“After careful consideration and assessment, Digicel has determined that a 20 per cent adjustment in our pricing structure is necessary to sustain our commitment to innovation, reliability and customer satisfaction.”

The letter began: “As part of Digicel’s ongoing commitment to provide you with the world-class service, improved connectivity and the most reliable network infrastructure, we wish to inform you of an impending adjustment in our pricing structure, effective May 1, 2024, reflecting a moderate increase in our service charges.“

The letter outlines a Digicel Business commitment to Bermuda’s digital future with greater investment in its network infrastructure. It said it was geared towards the continued delivery of world-class electronic communications services to its customers through increased speed, reliability and connectivity.

Mr Donnelly added: “Digicel understands that this price increase may be unwelcome. However, as we continue to navigate challenging times, we wish to thank you for your unreserved and continued understanding and support as Digicel continues to innovate and develop.”

The Digicel Business website offers: “We’re now the leading provider of connectivity solutions in our markets, and our range of products includes ICT solutions, corporate mobile, managed support services and network access.”

Information and Communication Technologies cover a wide range of solutions that manage and convey information.

Mr Donnelly also said yesterday in response to questions: “Digicel Bermuda recently implemented a price adjustment across all services and in keeping with local regulations, customers were provided with adequate notice of these changes via letter and/or e-mail.

“For mobile customers, there would have been a 4-5 per cent increase, depending on the service. Currently, Bermuda is operating at nearly 4 per cent inflation, which has impacts across the total business we operate.”

He also stated: “As part of our commitment to keeping customers better connected, we must ensure that we are able to offer the best network experience to our customers while maintaining a sustainable business model.”