BSkyB and Virgin Media Business strike backhaul capacity deal

24 May 2013

Alternative British broadband provider BSkyB has reached a deal with Virgin Media Business for backhaul network capacity, the latter has announced. With the five-year contract between the two companies said to be worth more than GBP49 million (USD73.8 million), Virgin Media Business has confirmed that under the terms of the agreement it will connect around a third of BSkyB’s unbundled local exchanges with the altco’s wholly-owned nationwide broadband network. Virgin Media also revealed that the core of the network is expected to be in place by the end of 2013, while it said that each of the connections will be superfast, delivering speeds of up to 10Gbps through the cableco’s High Capacity Services product.

Mohamed Hammady, director of Sky Network Services at BSkyB, said of the deal: ‘As we see traffic on our network grow significantly year-on-year, this agreement provides us with the capacity we need to keep innovating for customers and as such are committed to maintaining our high-capacity network.’

United Kingdom, Sky, Virgin Media