VM General News Thread

[Skie]

Originally Posted by Gavin-D

Virgin Media have launched Gig2 Full Fibre for areas in their nexfibre XGS-PON network.

It will cost £84 per month or £90 per month with symmetrical speeds.

So almost double what altnets charge for it and you can bet it'll hit over £100 a month point during your contract thanks to VM's usual eye watering price rises.

Really hope the altnets can keep rolling out services, it's the only way people will see sensible pricing out of VM.

[Pierre]

Originally Posted by 1andrew1

Reflecting on this, VM O2 is the only big UK ISP not to have a value brand. Sky has Now and BT has PlusNet. VM O2 now has the value mobile brand GiffGaff in its portfolio which it could apply to TalkTalk's consumer arm if it acquired the business.

Although it would obviously be a lot of work moving TalkTalk customers over to cable connections where available, combining the two ISPs would give VM O2 market share getting close to BT's and leapfrogging Sky.

How the regulators would view it is another matter but given the context of TalkTalk's finances there might be some flexibility. A potential remedy that could suit both sides is if VM O2 agreed to sell on those TalkTalk customers who weren't in its cabled areas, perhaps coming to an arrangement with Vodafone in advance.

Market share

• BT/EE/PlusNet 33.6%
• Sky/Now >24.04%
• VM 20.18%
• Talk Talk/Shell 11.65%
• Vodafone 4.36%

Per: https://www.choose.co.uk/broadband/guide/market-share/

Or not have a “value” brand.

[1andrew1]

Originally Posted by Pierre

Or not have a “value” brand.

If it acquired TalkTalk I'm pretty sure it would need a budget brand. It would lose a lot of the customer base by just moving them onto VM contracts. This loss would need to be balanced by the costs of running two brands and increased revenue from those TalkTalk customers it did successfully move onto VM contracts but the fact that its peers have budget brands suggests it works.

[1andrew1]

TalkTalk's business arm has already been sold to a syndicate of the group's existing shareholders, while its consumer arm is expected to be put up for sale in the coming years.

A source close to the company denied a weekend report that it was in active discussions to sell the consumer division to Virgin Media O2.

https://news.sky.com/story/macquarie...-deal-13070011

[Horizon]

Originally Posted by 1andrew1

If it acquired TalkTalk I'm pretty sure it would need a budget brand. It would lose a lot of the customer base by just moving them onto VM contracts. This loss would need to be balanced by the costs of running two brands and increased revenue from those TalkTalk customers it did successfully move onto VM contracts but the fact that its peers have budget brands suggests it works.

I suppose VM could launch some value bundle including its stream tv service, but we'll see.

---------- Post added at 21:14 ---------- Previous post was at 21:05 ----------

Originally Posted by 1andrew1

Agreed. The article had this to say on that subject

I would have though Vodafone would be a better combination, given their use of City Fibre and Open Reach like Talk Talk and value focus. However, Vodafone are busy trying to merge with Three and not flush with cash which is what TalkTalk's owners need.

The Telegraph also suggested regulatory issues might be a concern with Vodafone. I thought this would be less of a concern as they're not as large a player in broadband as VM.

Originally Posted by 1andrew1

Reflecting on this, VM O2 is the only big UK ISP not to have a value brand. Sky has Now and BT has PlusNet. VM O2 now has the value mobile brand GiffGaff in its portfolio which it could apply to TalkTalk's consumer arm if it acquired the business.

Although it would obviously be a lot of work moving TalkTalk customers over to cable connections where available, combining the two ISPs would give VM O2 market share getting close to BT's and leapfrogging Sky.

How the regulators would view it is another matter but given the context of TalkTalk's finances there might be some flexibility. A potential remedy that could suit both sides is if VM O2 agreed to sell on those TalkTalk customers who weren't in its cabled areas, perhaps coming to an arrangement with Vodafone in advance.

Market share

• BT/EE/PlusNet 33.6%
• Sky/Now >24.04%
• VM 20.18%
• Talk Talk/Shell 11.65%
• Vodafone 4.36%

Per: https://www.choose.co.uk/broadband/guide/market-share/

Interesting stats there.

My take on this, as has always been, is that we'll end up with three "cable" companies each with their own mobile operator. Perhaps there may be a forth once CityFibre and all the altnets come together, as I expect they will.

It is clear from those stats, that Vodafone has lost the broadband war, not that it was ever in it to begin with. So what happens next? Well look at the list.... it's clear. Who on that list doesn't have a mobile co?...

[Pierre]

Originally Posted by Horizon

My take on this, as has always been, is that we'll end up with three "cable" companies each with their own mobile operator.

Who will they be?

Perhaps there may be a forth once CityFibre and all the altnets come together, as I expect they will.

CityFibre and the altnets ( worst band ever, I have their first album) can’t afford to consolidate.

There will be some, but it won’t coalesce around CityFibre.

VMO2/NexFibre have M&A built into their future business plan.

[Gavin-D]

Virgin Media O2 will increase bills for most customers by 8.8%

[Pierre]

Originally Posted by Gavin-D

Virgin Media O2 will increase bills for most customers by 8.8%

Blimey.

[Mr K]

Originally Posted by Gavin-D

Virgin Media O2 will increase bills for most customers by 8.8%

And lose 10% of customers. Nutters.

[Media Boy UK]

Originally Posted by Gavin-D

Virgin Media O2 will increase bills for most customers by 8.8%

I have added it up to 7.9%

UK inflation rate - 4%
Virgin Media UK - +3.9%

[Gavin-D]

Originally Posted by Media Boy UK

I have added it up to 7.9%

UK inflation rate - 4%
Virgin Media UK - +3.9%

Nope. Virgin use RPI, which is 4.9% plus 3.9% = 8.8%

[MatthewEastaugh]

Originally Posted by Media Boy UK

I have added it up to 7.9%

UK inflation rate - 4%
Virgin Media UK - +3.9%

That's the wrong inflation rate.

https://www.mirror.co.uk/money/milli...omers-32120599

Virgin customers will see their bills increase by the Retail Prices Index (RPI) figure for January, plus an additional 3.9%. The RPI January figure was today confirmed to be 4.9%, which means an increase of 8.8% in total for this April.

https://www.moneysavingexpert.com/ne...e-price-hikes/

8.8%

January's RPI figure, published in February + 3.9 percentage points

[Media Boy UK]

Originally Posted by Gavin-D

Nope. Virgin use RPI, which is 4.9% plus 3.9% = 8.8%

Sorry I did think it the one BBC News was reporting this morning.

[Mr K]

Originally Posted by Media Boy UK

Sorry I did think it the one BBC News was reporting this morning.

Strange how the Govt/companies use the higher RPI when it suits them.
e.g. interest on student loans, bb bills, and the lower CPI for pensions/benefits. Dick Turpin is at work here....

Even if they are getting away with the higher RPI how do they possibly justify the extra +3.9%? . The cable that has been buried outside my house for 20 years hasn't suddenly got more expensive than inflation. They are quite happy to let customers struggle with ancient equipment, as long as they don't complain, threaten to leave.

[RobboEdin]

… and let’s not forget it will be 8.8% of the ‘full’ price, not the discounted price.