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BT Primed for US & International Gaming Industry

      BT's Partnerships and Services to Improve Customer Experience, and
            Operational Effectiveness Within a Secure Environment

    LAS VEGAS, Oct. 5 /PRNewswire-FirstCall/ -- British Telecommunications plc
(BT) (NYSE: BTY), a global IT and networking services company, is at Global
Gaming Expo (G2E) in Las Vegas this week, to announce two key partnerships in
the North American gaming sector. In addition BT will be showcasing its
products and services at the show and putting the case why BT should partner
gaming companies investing in the UK.
    Two partnerships -- one with Switch Communications Group, which will see
BT develop a local networking hub in Las Vegas, and the other with strategic
gaming consultants, WhiteSand Consulting -- will be announced at the show.
    The partnerships will enable BT to provide local hosting solutions,
managed services and global networking services for Las Vegas-based gaming
companies as well as strategic consultancy services in partnership with
WhiteSand.
    At the show, BT is also outlining its latest proposition and supporting
technologies for the US gaming industry, focusing on improving the gaming
customer experience and the gaming company's operational effectiveness through
wireless technologies, such as Wi-Fi, security solutions and network-centric
IT communications.
    Paul Harrison, vice president, BT Travel and Leisure North America, said:
"BT has two clear messages for the US gaming industry -- that we are serious
about the sector and that we have the capabilities and the track record to
support US gaming companies in their own back-yard."
    "By teaming up with local partners and applying our wireless, security and
networking solutions to transforming the customer experience and business
efficiency, we are confident that we will make a big impact on the US gaming
sector. As the global gaming market opens up, we also look forward to teaming
up with gaming companies entering the UK and across the world."
    His words were backed up by John Campbell, vice president, BT Global
Inward Investment:
    "Whether it be in their home territory or partnering them into the UK, BT
can now offer a complete, secure, local and global networking solution to
major gaming companies. Exciting times lie ahead for the gaming industry both
in the US and overseas and we look forward to being a significant player in
the sector."
    BT designs, develops and manages products and services to help companies
improve their ability to maintain and enhance relationships with their
customers in the digital networked economy. These include:

    Secure Wireless Technology Solutions
    BT can provide a wide range of secure wireless technology solutions, which
will allow regular gaming customers, for example, to be wirelessly 'tracked'
from the airport to the hotel to the casino floor, ensuring that they receive
preferential treatments and information wherever they go.
    Specific products include BT's Wi-Fi package which will enable gaming
venues to own-brand their Wi-Fi service with the assurance of a continually
monitored, managed service across all hotel and casino locations, to ensure
guests receive a reliable connection around the clock.
    In addition, Radio Frequency (RFID)-enabled loyalty devices, which use
electronic tags to store identification information and a wireless device to
capture and transmit that data, will allow customers to buy gaming credit, and
issue and redeem gaming chips without the need for cash to change hands on the
gaming floor.  Back office technology will also track chips to prevent theft
or fraud through its wireless technologies.
    Such wireless technologies can also be used to improve operational
efficiencies among gaming company employees.

    A Global Security Solution
    As a trusted supplier to 18 of the UK's top 20 financial institutions, and
with 60,000 traders in over 1,400 financial trading rooms across 51 countries
relying on BT's technologies to make rapid, critical decisions under busy
market conditions, BT has the security track record the gaming industry
requires.
    BT offers a global security solution for the gaming industry, with round-
the-clock vulnerability alerts and intrusion detection giving secure data
exchange between all sites either locally or internationally.
    Security will be further strengthened through the buying of hosting space
at Switch Communications Group's Nevada NAP(TM)  -- a site which offers
complete resilience in a location away from the natural disasters that can
loom over many areas of the United States.

    Global Networking
    While being able to operate locally, BT also has the global networking
resources for companies looking to expand or link-up services globally.
    BT designs, develops and manages IT and communications systems for large
and small organisations, including 10,000 multi-site organisations around the
world and 25,000 multi-site companies in the UK.
    BT is also fully committed to developing the UK's 21st Century Network
(21CN) by 2008, which will enable gaming organisations to see all their
applications, whether it be video, mobility, data or voice services, run over
an Internet Protocol network, and offering a flexible, customer-centric gaming
experience defined by robust security, speed and ease of use.

    UK Inward Investment
    BT Global Inward Investment division provides a complete investment
package for gaming companies looking to invest in the UK.
    The UK Department of Culture is planning to bring legislation before
Parliament, expected to become law in April 2005, which will see a complete
overhaul of the UK gaming industry.  Multi-billion US$ investment is expected
to flow into UK casino development in the five years following deregulation.
    BT services include finding the right technology solutions through to
start-up support, all designed around the needs of modern enterprises and the
digital communications services on which modern global commerce has become so
dependent.
    Organized by the American Gaming Association and Reed Exhibitions, Global
Gaming Expo (G2E) is the pre-eminent show for the world-wide gaming-
entertainment industry and takes place in Las Vegas, Nevada between October 5
and 7 2004. Up to 15,000 delegates and 650 exhibiting companies are expected
to attend.   BT can be found at Booth 6355 for the duration of the show.

    About BT
    BT Group plc is the holding company for an integrated group of
communications businesses and is listed on stock exchanges in London and New
York. British Telecommunications plc (BT) is a wholly-owned subsidiary of BT
Group and encompasses virtually all businesses and assets of the BT Group.
    BT is one of the world's leading providers of communications solutions
serving customers in Europe, the Americas and Asia Pacific.  Its principal
activities include network centric Information and Communications Technology
(ICT) solutions, local, national and international telecommunications
services, and higher-value broadband and internet products and services.

    BT consists principally of three lines of business:
    BT Global Services, providing ICT services internationally to meet the
needs of multi-site organisations. BT Global Services operates in 136
countries and also offers international carrier services.
    BT Retail, providing fixed and mobile communications services and
solutions to over 20 million business and residential customers in the UK. It
is also a leading UK internet services provider.
    BT Wholesale, providing network services and solutions within the UK to
more than 600 fixed and mobile operators and service providers including the
provision of broadband, private circuits and PSTN.
    In the year ended 31 March 2004, BT Group's turnover was over pounds
Sterling 18,519 million with profit before goodwill amortisation, exceptional
items and taxation of 2,013 million pounds.

    For more information, visit http://www.btplc.com


SOURCE British Telecommunications plc




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    Management for BT, +44-1285-713-776, or Cell: +44-7733-224850,
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    Relations, Cell: +1-908-410-1419, eileen.connolly@btna.com; or
    Miranda Duff of BT Americas Public Relations, Cell:
    +1-571-243-8868, miranda.duff@cox.net