Virgin Media to focus on faster broadband
Cable operator Virgin Media can't compete with rival BSkyB in the premium TV market and is instead launching a trial of superfast broadband speeds to attract customers, its acting chief said on Wednesday.
Neil Berkett, appointed acting CEO in August when Steve Burch resigned, said Virgin would promote its broadband as its 'hero' product after becoming bogged down in a damaging and high-profile TV channel dispute with BSkyB earlier this year.
"I think particularly in the premium TV space it has become more difficult for us to compete with Sky," he told Reuters on the side of a Media Guardian broadcast summit. "My position, with the board's mandate, is to concentrate more on our broadband products."
Britain's media regulator has launched an investigation into the pay TV industry after BSkyB's rivals including Virgin Media accused it of trying to suppress competition.
In broadband, however, Berkett said Virgin was better placed to compete as it already offers speeds of up to 20 megabits per second to some customers and has successfully tested 50 megabits with a view to offering content such as high-definition programming on demand.
Virgin Media was launched earlier this year from the merger of NTL, Telewest and Virgin's mobile phone division. But its launch was overshadowed by the spat with BSkyB over how much each side should pay the other to carry their TV channels.
Sky pulled its basic channels, which carry popular shows such as Lost and 24, off the cable platform after the two sides failed to reach an agreement. The case is currently going through court. Virgin lost up to 40,000 customers over the dispute and Berkett said he would love to have the Sky channels back.
Virgin Media is a 'quadruple play' that offers mobile-phone service, fixed-line telephony, broadband and cable TV.
Regards Satdude. :thum:
Cable operator Virgin Media can't compete with rival BSkyB in the premium TV market and is instead launching a trial of superfast broadband speeds to attract customers, its acting chief said on Wednesday.
Neil Berkett, appointed acting CEO in August when Steve Burch resigned, said Virgin would promote its broadband as its 'hero' product after becoming bogged down in a damaging and high-profile TV channel dispute with BSkyB earlier this year.
"I think particularly in the premium TV space it has become more difficult for us to compete with Sky," he told Reuters on the side of a Media Guardian broadcast summit. "My position, with the board's mandate, is to concentrate more on our broadband products."
Britain's media regulator has launched an investigation into the pay TV industry after BSkyB's rivals including Virgin Media accused it of trying to suppress competition.
In broadband, however, Berkett said Virgin was better placed to compete as it already offers speeds of up to 20 megabits per second to some customers and has successfully tested 50 megabits with a view to offering content such as high-definition programming on demand.
Virgin Media was launched earlier this year from the merger of NTL, Telewest and Virgin's mobile phone division. But its launch was overshadowed by the spat with BSkyB over how much each side should pay the other to carry their TV channels.
Sky pulled its basic channels, which carry popular shows such as Lost and 24, off the cable platform after the two sides failed to reach an agreement. The case is currently going through court. Virgin lost up to 40,000 customers over the dispute and Berkett said he would love to have the Sky channels back.
Virgin Media is a 'quadruple play' that offers mobile-phone service, fixed-line telephony, broadband and cable TV.
Regards Satdude. :thum: