Virgin Media O2 has confirmed talks with third parties about a potential joint venture that would build a full fiber optic broadband network serving an additional seven million homes and businesses by 2027.
The company's upgrade program means that each of the 15,5 million homes and businesses served by its cable network can now access 1Gbps broadband speeds, with a further 500.000 planned to connect by 2022.
The entire network will be upgraded to fiber to the premises (FTTP) technology by 2028 as Virgin Media O2 looks to maintain its technology leadership and develop truly converged products capable of competing with BT.
But now he wants to go even further. In announcing its annual results, Virgin Media O2 said its parent companies, Telefonica and Liberty Global, had entered into talks with outside investors about building a network that would be open to all communications providers, rivaling Openreach in some areas. However, Virgin Media's main O2 cable network would not be available to wholesale customers.
The newly merged company added 177.000 new broadband users last year, as well as 2,7 million mobile connections, a figure that also includes wholesale and IoT customers. It now has 5,8 million fixed subscribers and 32 million retail mobile connections, the latter of which increased by 344.000 last year.
Revenue fell 1,2% to £10bn for the full year as fixed consumer gains were offset by lower mobile and B400B revenue as profits doubled to 2, 18,3 million pounds sterling. The company added that it had invested €2 billion in its network operations and customer service in 2021, improving its fixed and 5G infrastructure, while limiting churn and increasing satisfaction levels.
"In a landmark year for our business, which saw the completion of the largest telecom merger in UK history, we stayed focused and ended 2021 with a bang," said Lutz Schüler, CEO of Virgin Media O2.
"We have seen steady growth in fixed and mobile subscribers as demand for fast and reliable connectivity continues, and we have increased our profitability while investing more than €2 billion in our network, services and future growth drivers.
"As part of our mission to make the UK better, we expanded our 5G coverage, completed our gigabit rollout as promised and now plan to expand our footprint to around 23 million installations through a new fiber venture implemented by our shareholders. . .
“We started this year as the only major mobile network not to reintroduce roaming charges in the EU. This defiant spirit is deeply ingrained in the organization, and we have every intention of harnessing this energy and maintaining the momentum we have created.
Via Sky News