Praise from Evolve Business Group has followed the recent decision by Virgin Media O2 to setup a wholesale arm, a move it hopes with help foster greater competition and more consumer choice in the broadband market.
Evolve Business Group has welcomed the decision by Virgin Media O2 and its strategic importance that it brings to business telecoms news. Virgin Media O2 entry as a nationwide provider in the market also challenges Openreach, which is owned by BT and currently has the lion’s share of home and business connections across the UK.
NetCo will be a fully consolidated subsidiary of Virgin Media O2 and will own the Virgin Media O2 cable and fibre network assets, which cover approximately 16.2 million premises across the UK. The creation of the wholesale business meets Virgin Media O2’s ongoing network upgrade strategy, from its existing cable-based networks to full fibre.
Evolve Business Group said the statement highlights just how significant the network opening of Virgin Media O2 is as the door should be open to genuine competition for broadband, especially in locations that have yet to be upgraded on Openreach’s network infrastructure. The potential for the wholesale arm of Virgin Media O2 to provide faster speeds and more types of connectivity for ISPs could provide positive change in the UK’s broadband market.
With the growth of Virgin Media O2’s footprint and the enhancement of their network, stakeholders look to see increased competition, innovation, and choice for consumers. This will ultimately lead to a more dynamic and consumer-centric broadband market in the UK.
