By: MarkJ - 24 August, 2010 (8:48 AM) - Score: 5370 - Fixed Line Broadband

According to new reports the BSkyB owned ISP UK Online, which came included as part of Sky's original Easynet acquisition in 2005, is facing closure with customers potentially being merged into the customer base of Sky Broadband .

That kind of move would not come as much of a surprise, especially after Easynet Global Services and its subsidiaries managed to reach an agreement with Sky over a sale to private equity firm Lloyds Development Capital (LDC) last month (here).

UK Online has been on uncertain ground ever since BSkyB launched itself into the consumer broadband market several years back. The ISP initially suspended new residential consumer signups last year due to "technical issues with the UK Online website" and that dubious excuse has lasted for a very.. very long time.


The report claims that a decision is likely to emerge before the end of September 2010. As part of the recent Easynet deal, Sky said it would retain Easynet's UK network assets. Sky and LDC also agreed to enter into a long-term supply agreement in which Easynet will have continued access to Sky’s fibre network. BSkyB said it would continue to be a business customer of Easynet.