Neos boss hails competition benefits of industry consolidation

Wed, 19/06/2024 - 13:12

Industry consolidation is needed to create providers with significant scale to challenge incumbents and established brands, says Neos Networks CEO Lee Myall, who has commended the recent Netomnia and Brsk merger.

The two altnets have combined operations to create a 1.5 million premise footprint with 140,000 homes and businesses ready for service. This creates the fourth largest fibre network in the county.

Myall said: “Altnet’s help close the digital divide across Britain and introduce much-needed competition to legacy service providers. They have been hugely successful and the UK is ever closer to its target for gigabit-capable connectivity, but since their introduction, and as the pressure to generate customer revenues mounted, the industry has been expecting widescale consolidation. 

“The deal between our two customers Netomnia and Brsk will come with a new wholesale company that will aggregate the two networks. This is vital, as consolidation isn't just about acquiring disparate networks and running them independently.

“To be truly competitive with legacy ISPs like Openreach and VMO2, altnets must deliver the same national reach and unified approach as their competitors.”