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Re: Cable and Wireless Snaps up Thus and Demon
Cable and Wireless still provide the essential services to Virgin Media and NTL Telewest business lines such as Emergency Services,Non Emergency services via 101,Operator Assistance via 100 and international operator assistance via 155. I also think that provide Virgin Media Directory enquiry services too via 118180,118878 and 118190 as well as 118770 and 118120.
Well basically, they sold the residential cable and phone service to NTL after Telewest refused to sell to Cable and Wireless, Cable and Wireless planned on acquiring Telewest.
They then acquired Bulldog communications in 2004 and it went a bit messed up and then sold that to pipex in 2006 which is now Tiscali. However, Cable and Wireless retained some of the residential customers from Bulldog for some reason.
Demon is quite small I think and they only bought Thus because of its business customer base, but I think they will go back into the small business and residential market again.
Cable and Wireless is currently the UK's 2nd largest telecoms firm, it also has operations in nearly every country around the world! Therefore, if it wanted to it could acquire Virgin Media and SmallWorld Media and actually invest a lot of money into the company, in terms of extending the coverage such as cabling new streets,upgrading everyone to digital,providing IPTV,upgrading the broadband speeds as far as 200mb ect..... If it was managed well, Virgin Media could be market leader before they know it.
However,before buying the company, they could just buy particular assets and liquidate any unwanted assets and debts. The banks would just have to whistle for there money.
Cable and Wireless could finance this, and if it couldn't it could always sell off some of its operations abroad.
Other potential companies that could take over Virgin Media:
Verizon (Already has a UK base after acquiring MCI Worldcom)
Comcast
Tele2 (Offers Cable services in Sweden)
Vodafone Group
United Utilities
Deutsche Telekom/T-Home/T-Mobile
Deutsche Telekom,Comcast and Verizon have previously run Cable services in the UK.
Deutsche Telekom: Owned Eurobell 1996 to 2000 and sold it to fund what it had spent on purchasing One2one. Eurobell was aqcuired by Telewest in 2000.
Comcast: Held 50% stakes in Cable London,Birmingham Cable and a few others until NTL bought them out in 1998.
Verizon: Previously known as BellAtlantic, BellAtlantic owned Bell Cable Media in the UK, BellAtlantic also acquired Nynex in 1997. All of Nynex and Bellcable operations where absorbed into Cable and Wireless in 1997.
So a company with good knowledge about the UK Cable industry would be perfect as they would know how to manage it more effeciently.
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