Call It The Skype Effect for BT

The Times of London reports that British Telecom is lowering the cost of calls made using its BT Communicator, which was developed in conjunction with Yahoo.

Call the pricing change a result of Skype. Due to its P2P and SkypeOut capabilities calling habits have changed. By reacting to the pressure BT has shown just how much margin used to be in the minutes being used/sold.