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Cable & Wireless to Sell Consumer Broadband User Base

12:20 am on July 4, 2006 | Category: Business, Internet, Telecom Services

Cable & Wireless has changed its mind about continuing to support 118,000 high-speed internet users, revealing plans to sell the consumer portion of its broadband business.

The company announced last month that it would halt all consumer broadband marketing efforts but continue to support its existing user base. But C&W has now changed its tune, realizing that selling the business is a better plan than letting it slowly die.

“We are now looking for a provider to buy our 118,000 strong Bulldog retail customer base,” a C&W spokeswoman said. “It will simplify our relationship with wholesale customers by making it clear that we will not compete with them.”

C&W bought Bulldog for Â£18 million in 2004, and proceeded to spend Â£175 million on improving the service. Ultimately, however, the company was unable to compete with larger rivals like BT, NTL, and Orange.

After the consumer division is sold, C&W will retain control of its broadband infrastructure, and use it to service enterprise and corporate customers. It will also continue to offer broadband to wholesalers seeking to resell the service.

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