Originally Posted by neil79:
“What would be in it for Sky ? They like VM & more recently BT normally target the high margin subscription TV business.
Purchasing O2 BB would just get Sky people who are mostly Freeveiw or Freesat users who don't want to pay Sky, VM etc prices.”
Simple, just a bigger customer base and potentially as they launch FTTC the ability to upsell or cross sell.
Sky is also looking at selling TV services via FTTC in the future as it will be a lot cheaper than satellite bandwidth. In the not too distance future they will have an IPTV business.
They can take advantage of the fact that Telefonica is needing to sell a lot of assets and get hold of BE and O2. This it was then takes them to the the no2 position in the market.
Current Market Share:
Sky 19.2%
Virgin 20.6%
O2 2.8%
BT 29.9%