PlusNet is in talks with BT and may be acquired by the BT Group.

Both parties have declined to comment so information about the possible deal is vague at the moment. Low-cost broadband supplier PlusNet and BT already have a working relationship beyond that of a standard IPStream customer, since PlusNet supplies some software used by BT.

It is speculated that by buying PlusNet, BT may acquire the expertise that PlusNet has gained in the time it has been using the Ellacoya IP Service Control System to control its own Ellacoya units.

The Ellacoyas form the basis of the traffic management system at PlusNet. The system is used to control different types of traffic flow, keeping a cap on the costs for the provider and offering the possibility of ranking applications according to latency. For example, applications such as games would remain at low latency when the network would otherwise naturally be running at a high latency for all protocols.

As of June this year, PlusNet had 198,000 customers. Anna Lagerkvist