Broadband Networks Zzoomm and FullFibre Limited Agree UK Merger
Alternative broadband network builders Zzoomm and FullFibre Limited (Fibre Heroes), both of which have been rolling out multi-gigabit speed capable Fibre-to-the-Premises (FTTP) ISP networks across different parts of the United Kingdom, have this morning announced that they’ve agreed to merge to create one of the UK’s largest Altnets.
At present Zzoomm’s network, which is home to over 30,000 customers (15%+ take-up) and covers 202,000 premises (RFS), is currently available across parts of around 29 market towns and small urban communities in Berkshire, Oxfordshire, Herefordshire, Yorkshire, Staffordshire, Wiltshire and Cheshire. The provider is primarily a vertically integrated operator, which acts as both the network operator and a retail ISP.
By comparison, FullFibre Ltd (including ISP sibling BeFibre) have deployed their open access FTTP network to cover 380,000 UK premises ‘ready for service’ (23rd Aug 2024). The focus of this operator has been on 81 market towns across parts of Derbyshire, Essex, Gloucestershire, Greater Manchester, Herefordshire, Lancashire, Leicestershire, Lincolnshire, Merseyside, Northamptonshire, Nottinghamshire, Shropshire, South Yorkshire, Staffordshire, Warwickshire and Worcestershire in England.
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The good thing above is that neither operator has any significant overbuild with the other, and both have been looking at consolidation as a way of balancing against the difficult market conditions. This has seen high interest rates, rising build costs and strong competition making it hard to raise fresh investment. But together, the combined group will have 600,000 premises passed (RFS), as well as 65,000+ customers, and a “platform for rapid growth and future M&A” (i.e. more mergers may follow). Enhanced “operational efficiency” is also anticipated (i.e. cost savings).
Matthew Hare, CEO of Zzoomm, said:
“With our clear focus on serving happy customers with brilliant broadband, Zzoomm has delivered for a number of years industry leading organic growth across its network.
We have consistently stated our strategy is to grow organically and by M&A in this fragmented market.
An enlarged business with the operational and financial infrastructure, benefitting from the economies of scale, as well as a management team with an exceptional track record, we will have an excellent platform to combine with other Altnets in the near future as well as driving organic growth faster.”
James Warner, CEO of FullFibre, added:
“This merger represents another significant step in our journey. With a shared commitment to delivering transformational full fibre connectivity with exceptional customer experience, this deal strengthens our collective ability to grow even faster and seize new market opportunities.
For FullFibre, this is our second merger and another milestone in our mission to create a 21st-century digital backbone for the nation. Following our recent successful integration with Digital Infrastructure and BeFibre, this next merger further accelerates our ambitions to lead the market and provide unmatched connectivity to homes, businesses, and wholesale partners alike.”
Under the agreement, which is still subject to final documentation execution and regulatory approval (expected during “early 2025“), Matthew Hare, CEO of Zzoomm, will become Executive Chairman and James Warner, CEO of FullFibre, will be the new Group CEO. The announcement also claims that the new group will “secure funding for new builds“, albeit without announcing any fresh funding or roll-out plans today.
The announcement of such a deal is of course only the first step in what can often be a complicated effort to integrate two separate networks and align their pricing, as well as policies. We’ve seen other altnets taking up to around a year, and sometimes longer, to fully integrate their infrastructure, customers and services.
Mark is a professional technology writer, IT consultant and computer engineer from Dorset (England), he also founded ISPreview in 1999 and enjoys analysing the latest telecoms and broadband developments. Find me on X (Twitter), Mastodon, Facebook, BlueSky, Threads.net and Linkedin.
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I couldn’t see any discernible overlap on the Think Broadband maps. Maybe 2025 will finally be the year of the great alnet consolidation.
Zoofibre? Fullzoomm?
Surely Zzzoomm and Fibre Heroes would be ‘Zzzeroes’?
I’ll get me coat.
Great news I’m currently with Zzoomm in Crewe. My contract is up for renewal in March so interesting times ahead. After a rocky start my connection has been rock solid since very happy.
Same here, on their 500meg package… though l still hear about allot of people having issues mostly down to the hardware they provide, always used my own so never had an issue.
I just hope this merger improves their support as thats another issue they have.. takes ages to get through to them and sometimes a couple of phone calls to get things done, otherwise things are pretty good.
But Full fibre is just a network as such, they are like a smaller Openreach, they don’t offer any services. Zzoomm is a network provider and ISP.
Looks like I choose the wrong one again, I should have stayed on FTTC with Plusnet
I like the service I get from Zzoomm, they offer 12-month contracts, and they are reliable, I can’t see the others doing that. I don'[t really want to go back on out of reach network, but we will see what happens, but I think this is a bad idea.
@timeless Yeah I’m in the FB Zzoomm Cheshire community group and I see a lot of people moaning about hardware. I went with a wifi 7 TP link BE65 1000% better than the Zzoomm router. I’ve had no issues whatsoever with WiFi coverage around our house.
@Ad47uk
Personally I would see it as a good thing, the more the altnets consolidate the more attractive it becomes to other ISPs to sign up & give Openreach some real competition.
@Big Dave, I would be happy for Openreach some more competition. We will wait and see what happens, as long as I don’t get a load of leaflets though the door trying to get me to change to another ISP on the network.
Well done; a move in the right direction. The issue now will be the execution of the merger.
Full Fibre accounts overdue so unable to get a picture of their health.
AhHa this will be the promised in 2023 company what was supposed to arriving in Dankshire Town in 2024.
Hopefully they may speed things up, as half the town has been done, and is working, carried out by another alt-net.
We have had a well known phone company touting thier product, blokes lifting covers to see whats what, rodders rodding etc.
The other half of Dankshire Town waits with bated breath for salvation from the miss-engineered fttc service
@ad47uk
Befibre is one of fibreheroes ISPs and they offer 1 month, 12 month and 18 month contracts with speeds up to 2.5gb. The other ISPs also have great options giving you more choice, I find this approach much better then a network rolling its own network out and being the sole isp limiting choices for the customer
I understand what you are saying, the problem is, when ever companies merge or get taken over, it is normally the consumer that loses or have to pay more.
I am fine with Zzoomm, they do need to have better routers, but as things go they have been reliable apart from the first couple of weeks after installation and that wasn’t their fault.
It was fine on FTTC to be honest and would have stayed on it if Plusnmet have not pushed me away.