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Virgin Media to build again
Great news from VM, makes sense why the share price has been moving at a pace.
https://uk.finance.yahoo.com/news/vi...070000013.html http://www.telegraph.co.uk/finance/n...K-economy.html "Connecting approximately 4 million more UK homes and businesses to broadband speeds of 152Mb, at least twice the fastest speeds available from competitors 6,000 direct new jobs, including 1,000 new apprenticeships, created over five years £3 billion of additional private investment expected to benefit the UK economy by £8 billion" |
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All investment is welcome although if they can afford to spend £3 billion then surely they can afford to give us those missing TV channels that we are still waiting for.
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Will investing in the missing channels pay back in terms of customer growth? |
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The thing is Mr Banana its all fine and well investing in your broadband network but one must take your eye off the ball in other parts of your network because if you do then any customers you gain one way you will lose in other ways so l think its very important to keep adding more channels including Sky Atlantic/ITV Encore and more OD content as Sky won't stand still in these departments as we have seen.
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The long awaited network infill program has arrived. But no rural build, & I assume no extension to areas where build never started, like East Kent/Thanet & East Sussex. Be interesting to see whether the expansion will be HFC or FTTP.
http://www.bbc.co.uk/news/business-31451174 |
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TBH I don't think anyone can truly expect VM to perform any major rural buildouts as the finances simply don't add up. It is great news to see them in a position that allows them to plan urban infill and buildout mind.
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I notice that the BBC have covered this in some detail but it is missing from Sky news :LOL:
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Great news, well done Liberty & Virgin.
http://www.broadbandtvnews.com/2015/...-for-a-decade/ |
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His view is that they should be using that money in rural areas? |
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I agree to an extent but it still comes down to will they gain more custom by investing in those channels. From what I can gather the answer is no, within the results they also mention that churn is at a record low. |
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Anyway, let's not keep posting in a thread about the largest private network build in a decade or two about a TV channel one provider has that another does not. Plenty of other threads to complain about content in.
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I strongly suspect I'll see Virgin Media contractors doing there thing around here, though possibly not at this property, as we will in every major city to plug gaps.
£750 per home passed makes a lot of previously unviable infill viable. They may finally get around to putting cable in the empty ducts and cabinets on the pavements to the south, west and north of here now! :) |
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with Sky entering the mobile market too soon VM cant take eye of ball in any department now
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Big wow! The price will be increasing soon. Far too expensive!
Plus this bad news: Virgin Media that will see the current 152 Mbps service going faster probably in the next 12 months and are a little surprised that this was not in todays announcement. |
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They can quite easily release a statement in a few months time which says in addition to the expansion of our network we are today announcing we are upgrading everyones speed to x. |
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Definitely long overdue, but I'm slightly concerned that I've seen more congestion on the network as a whole lately (purely anecdotal, mind you) so I hope they're going to keep upgrading the existing areas with capacity as well.
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Sorry I opened a thread here before I was directed to this one.http://www.cableforum.co.uk/board/12...l#post35759056
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More and more congestion on the network for virgin media
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So essentially is this a program to now fill the areas that lack Virgin Media but have BT's FTTC to enable a choice and price war?
I'm just outside of their network but you can get Virgin further into the town about a mile each way missing my estate out in the middle but we can get fibre from BT. There are cable ducts one side of the main road below the estate but I've been told they contain the link to the two networks either side. It's weird because there are even paths to the properties and caps but no service. Money probably ran out at the time. |
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Also congestion peaked late last year and is improving now as upgrades come online. |
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Thank you for making that correction. What do you reckon to the network architecture issue. Will VM go for fibre to the node as now or something more like FTTC, but with multiple coax out to the properties? I think they would be mad to repeat the weakness of the current, ex-NTL. configuration. |
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The current build is FTTC, the weaknesses come in old equipment and design eg 2000 home nodes, with reseg work these are gradually being phased out anyway, and new build will be a maximum of 500 home node, probably more like 250
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Bit more info on VM's plans courtesy of Liberty Global's investor relations page.
From page 8 of this slide http://www.libertyglobal.com/pdf/pre...tion-FINAL.pdf The 4m premises targeted will be less than 50 metres from VM's network and two-thirds are less than 20 metres away. VM is targeting about 40% penetration and is looking at an average revenue per user of £45. From page 3 of VM's Q4 results http://www.libertyglobal.com/pdf/pre...ease-FINAL.pdf "In order to achieve what we believe will be attractive returns, we plan to undertake a network extension programme pursuant to which we may connect up to an estimated four million additional homes and businesses to our broadband communications network from 2015 through 2020 (the U.K. Network Extension), thereby enabling these incremental homes to subscribe to our market-leading services. These additional premises were identified through a detailed review of our existing network that highlighted an opportunity to drive further scale by targeting accretive network extensions. The U.K. Network Extension will be completed in phases and will initially focus on the most accretive expansion opportunities. Depending on a variety of factors, including the financial and operational results of the earlier phases of the programme, the U.K. Network Extension may be modified or cancelled at our discretion ." ---------- Post added at 18:34 ---------- Previous post was at 18:27 ---------- Quote:
http://www.libertyglobal.com/pdf/pre...astructure.pdf |
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I am struggling to believe that there are 4.5 million premises with 50m of network or that this would need £3 billion to achieve, but if that's what the man said it is what it is.
Actually if I am honest I am quite sure that's not the case. Thinkbroadband ran some numbers that seem to disagree. |
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If VM are targeting 60% coverage the need to pass about 4.4 million more premises. ---------- Post added at 19:29 ---------- Previous post was at 19:13 ---------- Quote:
I was, it seems, optimistic. Only building within 50m gives a big FTTPR vibe and continues to leave me bemused as to why it would be so expensive. I was quoted £600-ish per home passed for an entire estate. |
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thats a bit of shame as my mates estate is half mile away from the nearest cab... god only knows why they didnt cable it as it was a council estate back then with some sizable private properties too, and going through this estate/village would give them access to the next one as its pretty much nextdoor,
i.e. the nearest network is just outside Guildford Town Centre (1 - 2 miles) ---> Shalford is offgrid (2 - 3 miles from town 1/2 mile from nearest cab) ---> Chilworth could be served if shalford was... makes no sense as to why they left it out... |
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BT do use government subsidised finances to fibre up the rural areas where it wouldn't otherwise be profitable for BT to do so. Quote:
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Kick in the teeth for those VM employees that lost jobs though
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...you did not mishear:
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Here's the direct quote from Fries when asked about how they'll build out the infill: "...it is an evolution of the current infrastructure as opposed to a wholesale change to the current infrastructure. So, fibre will be deeper and you know in many cases right to the premise. Erm, but we do think that docsis 3.1 and the advantages of that will be substantial across that." "...they'll be no copper....largely fibre..." So, my opinion on this as well as doing the infill, they'll do a few upgrades to the existing network with some areas getting a FTTC or FTTP service. ---------- Post added at 21:10 ---------- Previous post was at 21:00 ---------- Quote:
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The results and this announcement have landed well with the investment houses, share price up 5.5% today.
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So 4million homes, 40% penetration on that, average RGU of £45 per user...
That works out at £864million per year, give or take. Given Virgin's current penetration and average RGU, those figures are a little bit conservative but that seems like a good investment really. |
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http://recombu.com/digital/article/v...dgeshire-trial |
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Yes they have loads of debt but it's mangagable debt They are very canny in what they invest in and even if the slate was wiped clean, I doubt they would invest in rural areas. |
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There were 600 mainly management roles went about a year ago. And many of those were given fantastic packages I'm pretty sure if 3000 had gone I'd have remembered it. |
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Makes sense to me anyways. Sadly suspect I am still out of luck but c'est la vie. :) |
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Would someone mind adding this news to the front page?
It hasn't been updated for nearly a year now and surely this deserves to be on the front page. |
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They won't be cabling the rest of the nation any time soon if at all. These little roll outs and trials are a drop in the ocean compared to what's needed. They can't just keeping piling on more and more debt when there is no guarantee of a return. It's look like they are living beyond their means. I understand they are a LG are a humongous company and can service the debt by spreading it out amongst their other companies but it looks like they are spending money where they don't need to? |
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The employee numbers for Virgin Media Ltd per their accounts are: 31/12/2013 14,074 (Change +722) 31/12/2012 13,352 (Change +265) 31/12/2011 13,087 (Change -206) So, there have not been thousands of net job losses. What are your figures? ---------- Post added at 23:33 ---------- Previous post was at 23:30 ---------- Quote:
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---------- Post added at 09:30 ---------- Previous post was at 09:23 ---------- Don't bother just did a Google search. The story of 2,200 jobs is from 2008 a 7 years ago not The last couple of years. Quote:
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http://commsbusiness.co.uk/news/virg...unce-job-cuts/
http://www.lbc.co.uk/major-job-losse...gin-media-5553 The there are the departments at Cable Plaza, where sales, customer service, SOC etc were either laid off or told to travel all the way to Birmingham. ---------- Post added at 09:32 ---------- Previous post was at 09:30 ---------- Quote:
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As far as l can see they announced 2200 jobs cuts in 2008 plus Virgin Media were to cut 600 top and middle management posts from 2013.
http://news.bbc.co.uk/1/hi/business/7722644.stm http://www.theguardian.com/media/201...nagement-posts |
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Just goes further to prove that you make statements that are uninformed or just plain wrong and add nothing to the discussion. |
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You're right, I got the couple of years wrong, time's gone quicker than I realised lol. But the majority of workers announced in 2008 actually went in 2010, which wasn't that long ago.
Those figures aren't for the many workers under temporary contracts either, so there has been many more than figures touted in the press. The office I worked in where there were over a 100 staff, 70% at least were on temp contracts. Shame really. I'm not knocking Virgin by the way. |
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Folks, any chance we get this thread back onto talking about VM's build out plans please, not job losses? The 3000 job losses was announced by Mike Fries in Liberty's webcast on Friday. Whether that is correct or not, who knows, take it up with him if it's not.
Now lets get back to what many of us have been wanting from the cable industry for years, more cables being laid. And about time too! |
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As l say its a very welcome investment but one hopes that they don't ignore the other parts of their business which l am sure they won't. |
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Then there's the Albert dock etc as well. Temp positions really should be reported in the media, even if they don't "technically" work for Virgin Media. ---------- Post added at 19:23 ---------- Previous post was at 19:21 ---------- Quote:
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I feel that IF VM are investing in a better service. Then they should give us more channels that are out there.
And yes, ITV Encore and Atlantic. This is what customers want. and also am UK based call centre |
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:LOL: |
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I'm interested to know if VM really do start using FTTP for some of this infill and if any new areas get cabled too, rather than just infilling the gaps. 4 billion quid seems an awful lot of dosh just for infill... especially if it uses more modern techniques like micro trenching rather than gangs of blokes ripping the streets to bits, like the good 'ole days. |
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....interesting, thanks.
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But you know as well as anyone does that Sky is asking far too much for Atlantic so that no competitors to Sky can afford to have it. If TalkTalk and Wight Cable had it but Virgin didn't, you might have a point. But they don't. However, if Virgin expands its network and adds a million and a half new customers then it will be in a far better bargaining position to get Atlantic. (ITV Encore should be with us in about a year, it is a Sky exclusive for 18 months or so.) |
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Along with some fibre deep / FTTLA and some standard HFC. http://en.m.wikipedia.org/wiki/FTTLA |
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Hope they cable Sheffield, my brother is only a few metres from the VM network. (S4 7XX if anyone can help). :)
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