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Broadband provider Sky is close to relinquishing control of its Easynet subsidiary, according to reports.

The company is believed to have been in discussions with senior management figures at Easynet over a potential buyout deal which would see the latter firm, which was originally acquired by Sky in 2005, become a standalone body.

According to the Register, the terms of the deal being negotiated by business leaders including Easynet Chief Executive David Rowe and Chief Technology Officer Justin Fielder could see Sky retain control of the network.

However, Easynet would still also be able to rent capacity from Sky's network services unit.

Details of the potential sale have come after Sky recently confirmed it has completed its acquisition of Virgin Media's portfolio of digital TV channels.

The company is set to rename the broadcasting services, which include offerings featuring the Living, Challenge and Bravo brands, as the Living TV Group.

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