Orange Outsources its Fixed-Line Broadband Network to BT

Saturday, April 17th 2010

After the first strategic move to merge with T-Mobile last month, Orange has taken another surprise lead in its battle for broadband customers by handing over the control of its fixed-line broadband network to BT.



This move of Orange will significantly expand the fixed-line network coverage of provider to the entire country and will offer its 840,000 customers a vast new experience of high-speed internet. This could even reduce the charges of its products and broadband services. The broadband provider will now go nip and tuck with major players like Virgin Media and Talk Talk.



Orange has a long story of failure in the market share of the broadband sector, even after spending billions of pounds on its network over the past decade. Last year, the company faced a strong blow of decrease in the customer base below one million mark.



Bruno Duarte, Orange's Vice President of Strategy told The Times that they are not satisfied with the company's performance in broadband sector. However, the requirement to remain in fixed-line network is a must and hence, the company has changed its basic strategy to perform. According to him, it is the ageing infrastructure that has resulted in trouble. Despite of spending millions to improve this, an even more higher investment would be required to get it up to the mark.



Now, since the BT has taken the drive, Orange can free up the resources and invest them in improving the products and services.


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