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Virgin Media is going back to it's ntl:telewest roots after decinding it
can't complete with BSkyB.
Acting chief executive Neil Berkett, in charge after the
departure
of Steve Burch a couple of months ago, has said that the company will forces on
broadband rather than trying to take on the satellite provider in the media
stakes.
He thinks that rather than providing total broadband TV services customers
will be tempted by services such as video on demand that require fast broadband,
which can be provided by their cable connections.
Virgin has been trialling broadband with speeds up to 50Mbps which is over twice
as fast as BT ADSL2+ and six times the maximum standard ADSL connections can
provide. It hopes to provide a similar service to the BBC iPlayer and provide
downloadable content, and if it can provide the right kind of content then it
will prove to be a winner.
As Mr Berkett says "Despite our technical advantage we are still not
really standing out from the crowd,", but it's strange that after it's much
hyped move into media it's now decided to do what it did originally and become a
broadband cable provider again.
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