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BT & PN

Community Veteran
Posts: 7,912
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Registered: 02-08-2007

BT & PN

If PN is owned by BT and the prices & service are similar why does BT keep it as a seperate company ?
I could clearly see the reasons for doing so years ago as PN offered an excellent service at lower cost than BT but now things seem to be levelling out in terms of cost and service so is it likely PN could be merged with BT to reduce overall costs ?
Clearly no one will have an answer to this question but what would you rate the chances of it happening ?
Personally I would rate it as an even bet.
4 REPLIES
Community Veteran
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Registered: 16-02-2009

Re: BT & PN

If they keep it separate, they can claim it is a "competitor" or some such carp.
nanotm
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Registered: 11-02-2013

Re: BT & PN

if they integrate it they cannot spin it off later down the road when they need to raise funding or indeed parts of it as they become no longer feasible to run.
no doubt they have only maintained it as a separate company because of competition rules and regulations but even if its only a technicality the separation does mean BTretail isnt the monopoly supplier it was once deemed to have been /
just because your paranoid doesn't mean they aren't out to get you
Community Veteran
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Registered: 01-08-2007

Re: BT & PN

Quote from: gleneagles
If PN is owned by BT and the prices & service are similar why does BT keep it as a seperate company ?

To beat the competition you need to BE the competition. That way you keep the money coming in.
I need a new signature... i'm bored of the old one!
Superuser
Superuser
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Registered: 10-04-2007

Re: BT & PN

And what is to happen once the EE take over gets completed?  (Probably next year?)  EE is already very competitive in the Mobile & streaming markets and after a number of 'prods' by Ofcom have recently spent c £15M on their billing and other back office platforms to improve the service to their large customer base.
I'd stake a small wager on PN being 'reversed' into EE and being able to make good advantage of the modern / flexible systems base to resolve many of the current Plusnet woes for limited capital exposure.  Maybe clearing the Augean stables of the old legacy Fax; Voip products is a prelude to make the transition quicker / easier?  Makes a lot of sense.
M