[Hands0n]

Interestingly, while talking with Sky about an upgrade to Sky+ (see other thread in this section of the forum) the person I was speaking with made reference to their impending announcement about providing Sky broadband in the UK. The rep said that they could not tell me any details, but that they were shortly to make an acquisition announcement that would put Sky as a major broadband supplier in the UK. Too much coincidence suggests that the speculation may well be based on truth. Take the following article with the usual disclaimers :)



BSkyB is now the frontrunner to take over AOL's UK operations after BT withdrew from bidding.

The satellite broadcaster is acquiring broadband assets to boost the launch of its triple-play offering later this year. Most notably it picked up Easynet last year for £211 million.

The acquisition of AOL for a reported £600 million would instantly give the company 1.3 million broadband customers. A further 900,000 take AOL's dial-up service.

AOL's internet websites are not included in the sale.

URL = http://www.digitalspy.co.uk/article/ds34072.html

[Ben]

Talk about throwing cash at the problem. Easynet + AOL would give them a very strong broadband presence and possibly enough momentum for them to launch a whole new delivery mechanism for Sky services encompassing IPTV for on-demand content and integrating the broadband connection with future Sky boxes. They could even pioneer mainstream IPTV broadcasting around a homes local network from a single Sky box. Mhm. Personally I'd rather Vodafone pick up AOL UK, but I guess we'll have to wait and see.

[Hands0n]

If I'm not wrong AOL and Easynet are LLU providers also, which would also make Sky a dialtone provider too. Add a mobile network operator (?) or MVNO and Sky would have the full package. Why not? NTL bought Virgin Mobile as a going concern.

I can't help experiencing a touch of de ja vous though, there is a whiff of dot.com about all of this!

[3g-g]

I'd heard that Sky were going to go into a partnership with Demon to offer broadband packages, they were also to be their partner for VoD services... however, if you've got your own ISP then the world (well, the UK) is your oyster!

[Ben]

I can't help experiencing a touch of de ja vous though, there is a whiff of dot.com about all of this!
I'm with you, it'll all end in tears. Still some of the most successful products in the world are the ones where a company focuses soley on what they do best. Almost everything has a built in MP3 player these days, but iPods are still snapped up in their millions. Infact Apple in general have a very tight and focussed line of products - at one stage they made printers and game consoles but they've dropped those extensions in favour of what they're good at. Nokia have made many, many things in their time (televisions being one) but these days concentrate mostly on mobile phones. After all, it's what they do best.

So when it comes to services, does it really make sense to get everything from the same place? A one-stop-shop? I don't doubt that there are advantages from convergence in the services sector, but why do I feel that, for the most part, the advantages being considered are cost-savings and not innovation? How the hell will these cumbersome juggernaughts compete with focussed and dedicated upstarts who can change direction day by day? And how will customers respond when instead of just moving their mobile phone contract they have to move their Internet, television and landlines as well?

[Hands0n]

And how will customers respond when instead of just moving their mobile phone contract they have to move their Internet, television and landlines as well?

It is, possibly, that perspective alone that persuades me that this is not really very much to do with servicing the Customer. That it is more to do with corporate profitability.

The bundling or "convergence" of all the services under a single supplier fill me with some dread. For example, Orange's proposition; what if I love the mobile phone service but hate the Broadband. In this brave new world, how do I get the best of breed rather than mediocrity. Is that all that I can look forward to? A world of greyness devoid of sparkling technology and services? Large behemoths that tell me what I can have rather than cater for my specific needs? Even if the latter is somewhat illusory - a [very] close fit rather than being truly specific.

I do rather suspect that is precisely what will happen as these converged monolithic organisations come into being.