Eircom plans to reintroduce a text messaging service on its new generation of fixed-line digital telephone handsets later this month.

The service, which was blocked by the Commission for Communications Regulation in December, forms part of Eircom's plan to compete more aggressively with mobile phone operators.

The Commission blocked the service because Eircom did not offer its rivals a wholesale service which they could in turn provide to consumers. But the Commission said yesterday it had approved a new wholesale offer made by Eircom.

This will enable Eircom to reintroduce the product this month.

It is understood Eircom has written to rival telecoms operators offering to provide them with the wholesale product, and plans to initiate the service on January 22nd.

Esat BT said it planned to present its own fixed-line SMS service. Eircom would not comment on the issue last night.