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BSkyB mulls UK Online closure

All off to Sky broadband?

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BSkyB is considering closing UK Online, an ISP brand it acquired when it bought Easynet.

The broadcaster says it hasn't yet decided what to do with UK Online's subscribers, but The Register understands the leading option is to shift them over to Sky broadband packages. An announcement is expected within the next month.

UK Online bills itself as "a business grade service but not a business price", offering broadband access via Easynet's LLU network, which BSkyB bought in 2005.

Having successfully established itself in the home broadband market, the broadcaster is currently in the process of selling Easynet to a private equity firm. BSkyB will retain control of the network assets, while Easynet will go it alone as a services firm, competing with BT Global Services among others.

UK Online was created by Easynet to sell broadband to technical home users and small businesses. It pioneered ADSL2+ in the UK. The Easynet sell-off places it in limbo between Sky's mass market consumer offering and the new Easynet's large corporate targets, however.

BSkyB told The Register: "We're currently reviewing how to support UK Online customers following the announcement about the proposed sale of Easynet.

"No decisions have been taken at this time and we'll let customers know directly if and when there are any changes planned."

In the meantime service will continue as normal, the spokesman said. ®

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