Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

https://dailybusinessgroup.co.uk/202...for-cityfibre/

Original Telegraph article, paywalled: https://www.telegraph.co.uk/business...bid-cityfibre/

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Not implausible, but i don’t see where the value is in that acquisition.

City Fibre is not just an Altnet, they’re also a carrier, with national core network acquired from Torch, that VM doesn’t need but would be priced in to any deal.

VM just needs the FTTP access network.

VM buying smaller Altnets where they don’t currently have a footprint makes more sense.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Would it make more sense for Nexfibre to buy City Fibre?

Nexfibre would have an immediate footprint, wholesale agreements in place from which it could start to build out and almost overnight expand the footprint for VM (albeit with some overlap)

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Providers merging has been a thing for many years and i can see it continuing. The Altnets will ether make money and prosper or will be snapped up by the big players as they go bust.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

It would boost the number of broadband and TV customers, surely.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Whilst I felt CF was the least likely to be taken over it does make sense for VM.

VM have plans to rollout FTTP (in their existing areas), and like VM, CF has concentrated on cities, indeed, CF are currently rolling out to the majority of my city, and VM also covers most of it, they would be basically buying the infrastructure which will make things much easier for VM on their rollout.

However the downside will be reduced competition, my city has currently no openreach FTTP, and CF were looking set to have a monopoly in most of the city on FTTP with VM been their only competitor some years later, if this takeover happens VM will have that monopoly instead, CF support IPv6 etc. whilst VM dont. so as a consumer I would rather VM build their own FTTP instead of taking over CF, but it does make sense for VM to buy CF assuming the cost isnt too dissimilar or cheaper than doing their own rollout. Bear in mind CF did much of it before costs have skyrocketed, so the maths have changed.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

If it was to go ahead, that would be the logical angle.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Irrelevant to me, according to their site, they havent even "planned your area at the moment".

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

City fibre have been digging up everything here for weeks despite VM being fully cabled up. Not sure what the synergy would be here?

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

VM are planning to roll out FTTP in all docsis areas. Hence the interest.

Plus they would kill an ultrafast competitor.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

How so?

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Maybe because they are not a competitor if you own them.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

They’re rolling out XGS-PON on their footprint using their existing duct infrastructure. Buying CF which uses, largely, PIA on 50% of the same footprint doesn’t really stack up.

It’s a good headline but just I don’t see it.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Then they'll have to buy up every other AltNet provider including those who offer 1Gb symmetrical connections.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

I have been corrected elsewhere, it seems the deal is between Liberty global, Telefonica and InfraVia via a venture called Nexfibre.

VMO2 would be the anchor tenant, and wholesaling would remain (so would at least still be retail competition, just not infrastructure competition).

---------- Post added at 23:30 ---------- Previous post was at 23:28 ----------

Well my comment was just my city, my city only has 1 provider doing any reasonable coverage which is CF (Openreach just under 25% only in student areas), the only other altnet rollouts are just for a few streets or specific apartment buildings, however it does seem I was wrong on if it would still be wholesaling, please check my previous comment above this.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Please God, no. Cityfibre are my best shot for finally being free of Virgin.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

A lot of other people will be hoping that this doesn't go ahead too.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Not actually sure where they currently are in Nottingham, I know they have done Wollaton, Bilborough and various other places.

I'd definitely jump ship to them when they have done my area, but no idea when they will reach me.

The post code checker just says they are coming.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

I'm about 10 miles out of Nottingham, their PC checker is what I used.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

Do CF use their own duct? If so, they will be lucky to find space underground round here, what with BT copper, Openreach fibre, Virgin, gas, electric, and water, all sharing the same bit of pavement.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

City Fibre installed all their own ducts round here. (Purple) Plenty of other utilities to dodge round.

Re: Virgin Media in talks to possibly acquire City Fibre, for £3bn
 

There are several companies installing the cables around my area. City Fibre have put ducts in, Zzoomm have just put the cables straight into the ground and put new tarmac over them.