Feeds

BT faces £15bn network bid - report

'Rumour and speculation,' says telco

  • alert
  • submit to reddit

Remote control for virtualized desktops

BT faces a £15bn bid for its UK network, The Observer reports.

Private equity groups such as Apax, Permira and Babcock & Brown could be getting ready to make a bid, according to the newspaper. The firms could make a bid for BT's network even if Ofcom doesn't rule in favour of a split, it claims.

The report, which does not cite sources, follows confirmation by the communications regulator, Ofcom, that it is considering the question of splitting BT as part of its review into the UK's telecoms sector.

A spokesman for BT dismissed the report as "rumour and speculation".

The idea of splitting BT's retail division from its network in a bid to increase competition is something that just won't go away. Describing it last week as an "old chestnut", BT said that "no other nation has contemplated the break-up of a former incumbent and the arguments against such a move are well rehearsed."

In 2001, German investment bank, West LB, offered £18 billion for BT's landline phone network. While Earthlease, a consortium led by Babcock & Brown and Chancery Lane Capital, bid £8 billion for BT's local loop, the wires that connect homes and businesses to its network.

At the time BT bosses said the network - or part of it - was not for sale. BT Retail chief exec, Pierre Danon, was "fiercely opposed" to any sale of the company's network adding that flogging the network would be the "most stupid thing you can do". ®

Related stories

Ofcom confirms BT break-up review
New BT chief rules out network sale
West LB cans bid for BT phone network
BT offered £18bn for phone network

Remote control for virtualized desktops

More from The Register

next story
Download alert: Nearly ALL top 100 Android, iOS paid apps hacked
Attack of the Clones? Yeah, but much, much scarier – report
Broadband sellers in the UK are UP TO no good, says Which?
Speedy network claims only apply to 10% of customers
Virgin Media struck dumb by NATIONWIDE packet loss balls-up
Turning it off and on again fixes glitch 12 HOURS LATER
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Fujitsu CTO: We'll be 3D-printing tech execs in 15 years
Fleshy techie disses network neutrality, helmet-less motorcyclists
Facebook, working on Facebook at Work, works on Facebook. At Work
You don't want your cat or drunk pics at the office
Soz, web devs: Google snatches its Wallet off the table
Killing off web service in 3 months... but app-happy bonkers are fine
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
5 critical considerations for enterprise cloud backup
Key considerations when evaluating cloud backup solutions to ensure adequate protection security and availability of enterprise data.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Choosing a cloud hosting partner with confidence
Download Choosing a Cloud Hosting Provider with Confidence to learn more about cloud computing - the new opportunities and new security challenges.