Logic Communications Ltd., one of the two Internet providers in Bermuda, yesterday announced an immediate ten percent across-the-board reduction for all its Internet prices to consumers.

The company said it was reviewing all its consumer access service levels and would announce further enhancements to its dial-up services in the near future.

In a new release yesterday, Logic said it was an advocator of competition in the local market and had been the leader in the "introduction of innovative, value-added consumer and corporate advanced communications services since 1995''.

Telecommunications Minister Renee Webb yesterday welcomed the cut as a "victory for the consumer'', adding further reductions in Internet rates were expected.

Ms Webb said that North Rock Communications, the Islands' other Internet service provider, should be "praised for passing on savings to the consumer''.

And she said she was pleased to see that Logic had responded accordingly. But Ms Webb brushed aside comments made by TBI Manager Peter Durhager on Friday that the telecommunications market was headed for chaos.

"What creates chaos is if people ignore the law!,'' Ms Webb said referring to the attempt made by Logic Communications to carry voice messages via the Internet. Logic is awaiting the outcome of the ruling in February by the Supreme Court to decide on whether its licence permits it to offer cheaper, Internet based data service LogicPhone to the country's residents and business community.

Logic Communications has retained the local law firm Diel & Myers and international telecommunications expert and lawyer Andrew Lipman of Swedler Berlin Shereff Friedman, LLP of Washington DC to act on its behalf. Ms Webb also rejected Mr. Durhager's contention that she would tout the short term perceived benefit to customers as a win for consumers. On the contrary, she said, Government has been working with the local and international carriers for more than a year to reduce costs.

"Our objective is clear, we embrace competition and we want to make sure competition is reflected in lower costs while maintaining state of the art effective and effective competition,'' said Ms Webb. She added: "We have to look at the bigger picture, e-commerce presents so many opportunities for Bermuda and Internet service providers.'' Service Level New Rate Power -- 10 hours $26 Atomic -- 20 hours $44 Ultra -- 30 hours $65 Sonic -- 45 hours $83 Mega -- 60 hours $108