Sky acquires 500,000 broadband customers from Telefonica UK
<a href="http://macnn.com/rd/280152==http://www.sky.com/" rel='nofollow'>BskyB</a> is acquiring Telefonica UK's landline and home broadband services. The deal, claimed to be worth around £200 million ($307 million) will see Sky become the second largest Internet service provider in the country, thanks to the addition of an extra 500,000 customers from Telefonica's Internet services, <a href="http://macnn.com/rd/280153==http://www.o2.co.uk/" rel='nofollow'>O2</a> and <a href="http://macnn.com/rd/280154==http://www.bethere.co.uk/" rel='nofollow'>BE</a>. <br />
Initially, Sky will be paying Telefonica £180 million ($273 million) for the broadband and fixed-line services, with another £20 million ($30 million) due upon completion. The 500,000 Telefonica customers will then be integrated with the existing 4.2 million Sky broadband and 4 million Sky phone customers, 3.6 million of which also count as triple-play customers in using Sky's phone, broadband and satellite TV services.
In a statement Telefonica chief executive Ronan Dunne said that the deal would allow Telefonica to "focus on delivering best-in-class mobile connectivity, including next generation (4G) services." Telefonica spent around £550 million ($843 million) on radio spectrum in UK regulator Ofcom's 4G auction <a href="http://macnn.com/rd/280155==http://www.electronista.com/articles/13/02/20/total.of.4g.auction.winning.bids.lower.than.antici pated/" rel='nofollow' target="_self" title="">last month</a>, which will allow O2 to offer high-speed mobile connections in the coming months.
While it still requires approval, Sky estimates that the acquisition will be completed by the end of April.
|All times are GMT -4. The time now is 10:28 PM.||
Copyright © 2005-2007 MacNN. All rights reserved.
Powered by vBulletin® Version 3.8.8
Copyright ©2000 - 2016, vBulletin Solutions, Inc.