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BE/O2 Wholesale services to shut by end of February 2014
Friday 25 October 2013 17:24:52 by Sebastien Lahtinen

Since the acquisition of O2's fixed broadband services (incorporating BE) by Sky in early 2013, the future of the network has been somewhat uncertain. Sky began migrating its consumer customers to the Sky broadband service from the end of August and we have now been told that service providers on the wholesale network have been informed the service is due to be shut down at the end of February 2014, one year after the original acquisition.

"We can confirm that as of February 2014 we will no longer offer wholesale broadband services. The delivery of fibre broadband currently requires a level of scale and investment which does not fit with our strategy to focus on digital services and experiences."

O2 Spokesperson

The BE Wholesale service has been a popular service for high-end consumer and business customers, particularly prior to the uptake of BT's wholesale fibre-to-the-cabinet (FTTC) services. Increasingly, smaller operators who were using the BE service are turning to TalkTalk Business instead. Any users on O2/BE Wholesale services are advised to contact their their broadband provider to discuss options.

Comments

Posted by tommy45 over 3 years ago
That's typical of sky,But TBH i'm not really suprised by this announcement Sky bough 02/BE for one reason that was to kill of a competitor,They had no intention of providing a buisness grade wholesale service, because they are greedy
Posted by Kr1s69 over 3 years ago
@tommy45

I'd say they bought it for market share. I don't think we've lost much given O2 hadn't even launched a fibre service.

Also, I'd think sky know more than we do about the wholesale business. If it had a profitable future and didn't divert funds from more profitable activities they'd have kept it going.
Posted by batfastad over 3 years ago
I left Be about 6 months ago because of the total silence from Sky about what they were going to do with static IP customers.

I moved to Xilo and am actually on their Be/O2 wholesale connection, so it will be interesting to see what happens.
Posted by tommy45 over 3 years ago
I bet Martin @ Aquiss won't be impressed with this news, as Aquiss sold O2W products with a 12mth contract,Although annex m is available via other llu wholesale providers,How a change of wholesale product will affect o2 wholesale customers,remains to be seen
Posted by AndrueC over 3 years ago
They had no intention of providing a buisness grade wholesale service, because they are greedy <

Or maybe they don't like to run their business at a loss. Sky are already in a far better position to run a wholesale service if there was money in it. At least Sky own their own backhaul and core network whereas last I heard BE/O2 just rented capacity of other providers (even BT at one point).
Posted by tommy45 over 3 years ago
All ISP's make little from bb compared to what they make on line rental and calls, sky insist on voice and bb that in my opinion makes them greedy also there will be less profit for them providing buisness grade bb,due to having to provide real support anongst other differences
Posted by Lykaios over 3 years ago
@tommy45

Martin at Aquiss was made aware on twitter, to which he is going to check on Monday with the account managers.
Posted by dogbark over 3 years ago
@Andrue Sky rent backhaul from Virgin http://www.broadbandworldforum.com/virgin-media-sells-backhaul-to-sky-in-49m-deal/
Posted by pcoventry76 over 3 years ago
RIP Be*, you really where the best ISP I've ever used. But unlike the greats (be*, metronet,Screaming Net) someone somewhere just was not happy until you were all killed off.
Posted by dragon2611 over 3 years ago
Sky have nothing to do with this so I'm not sure why people are blaming them.

O2 only sold Sky their RETAIL broadband customers they kept the wholesale side of things, so this has everything to do with 02 and NOTHING to do with Sky.
Posted by snadge over 3 years ago
dragon2611 is 100% correct - sky only purchased their BROADBAND CUSTOMERS only , the o2/BE wholesale backhaul was provided by Telefonica, Sky DO own their own backhaul, the Virgin contract is simply an extension to it.
Posted by tommy45 over 3 years ago
Telifonica owned both o2 and be retail, It sold only retail customers because the wholesale customers where a seperate entity entirely, they i think also sold the the exchange kit as well to sky , hence why they where able to pull the plug on wholesale side,
Posted by jchamier over 3 years ago
Telefonica UK want out of the ISP business. They want to keep the IP network and use it for the O2 mobile phone network which is in dire need of bandwidth for 3G today, and 4G soon. O2 have the slowest 3G and slowest 4G available :-/
Posted by tommy45 over 3 years ago
Wish they would sell that too,as they are/were one of the most expensive mobile providers, as for the 3-4g speeds,little suprise there with telefonica
Posted by uniquename over 3 years ago
@tommy45 "Sky bought 02/BE for one reason that was to kill of a competitor". It was O2 put it up for sale, not a predatory approach by Sky. The possible buyers were not many, so I think that's an unjust accusation.
Posted by tommy45 over 3 years ago
Yes i'm aware that Telefonica uk the ower of both BE/O2comsumer ISP's put it up for sale, But Sky didn't buy it just for the customer base,As the number of customers that would accept being migrated to sky was an unknown, and i think that they have ended up with out of pocket on that, as most jumped ship to avoid sky, No they also bought it because it removed another llu suplier , one less for customers to choose from ,So if tt decided to sell who would buy that then, BT, or sky, you can bet it would be one of them
Posted by tommy45 over 3 years ago
Sky like bt want market domination they don't want the customer to have a wealth of choicebig corporations are greedy end of
Posted by Dixinormous over 3 years ago
Given you've posted 7 of 17 comments on this thread all extremely negative I'm guessing you aren't fond of BSkyB?
Posted by jas88 over 3 years ago
Since my office is on Be ADSL right now - direct, not wholesale via another ISP - I'm curious about what will happen: Sky's own products appear to be residential only, so this would seem to imply we have to find a new ISP in the next 4-5 months. With FTTC coming in May, this also leaves a few months' gap to cover.

Why, Sky, why?!
Posted by shaunhw over 3 years ago
Sky Sucks. Even after you terminate your TV service like I did a year ago they pester you incessantly. Well if it was a choice between Sky broadband or no broadband I'd choose no broband. They are like the Borg having assimilated a fabulous business ISP, and closed down what's left of it.
Posted by David-Park over 3 years ago
"Sky began migrating its consumer customers to the Sky broadband service from the end of August"
Where did you get that from?
I'm with Be and not transferred Be tell no one as been transferred yet.
Some have closed their Be account and become Sky new customers are you getting mixed up?
Posted by chrysalis over 3 years ago
I would hazard a guess there is very little profit if any in renting out dsl ports, the business is too competitive and trashed to the point even traditional providers are looking to use line rental to push up their profits. Wholesaling backhaul may be a different story tho. Plus the statement came from O2 not sky, I dont think sky even brought the wholesale business, so it was O2 who pulled the service it seems.
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