Home Broadband ISP Cuckoo Sells UK Customer Base to Onestream UPDATE

Retail internet service provider Cuckoo, which is the consumer broadband outlet for the associated AllPoints Fibre (APFN / Fern Trading) network and wholesale platform (they also provide services via several third-party full fibre networks, such as Openreach and CityFibre), has confirmed to ISPreview that rival ISP Onestream will acquire their customer base.

The agreement, which is perhaps not surprising given last year’s report of redundancies at Cuckoo (here) and the wider market strains that operators are continuing to feel (both economically and competitively), will see Cuckoo’s customer contracts, brand, and domain all transfer to Onestream, although all customer connections are to remain on APFN’s wholesale aquila platform.

Onestream is already said to have completed full API integration into aquila in just eight weeks, “enabling rapid onboarding and future scalability“. Onestream will also gain access to a broader full-fibre portfolio – including Openreach, CityFibre and APFN’s own assets. Onestream said they expect to benefit from continued development of aquila to enable access to more capabilities and services over time.

The flip side of this move is that it could also be seen as freeing up APFN and aquila to be more of a wholesale-only network, which removes the inevitable conflict of interest that emerges within more vertically integrated operators and could improve their competitive flexibility. But it’s worth noting that they do still control one other retail ISP – Brillband, at least for now.

Nisreen El-kaloush, Chief Commercial Officer at APFN, said:

“APFN was built to give the channel a simple, more modern route to market. aquila brings this to life by unifying leading fibre and Ethernet networks into a simple marketplace that includes automation, service visibility and API-driven workflows. This long-term partnership gives Onestream full access to everything aquila has to offer. We are excited to enter this new chapter together – creating a more streamlined, scalable experience for ISPs, MSPs, resellers and wholesalers across the UK.”

Sarah Hill, Managing Director at Cuckoo, said:

“I am enormously proud of the Cuckoo team and the business we have built together; an enviable culture underpinned by a commitment to deliver outstanding customer experiences. The team will begin planning a seamless transition to Onestream, where I know our customers will be in good hands.”

Steve Evans, Managing Director of Onestream, said:

“We are delighted to welcome Cuckoo customers to Onestream. This strategic move significantly expands our customer base, giving them access to full-fibre and high-speed broadband across the UK, our competitive pricing, and our commitment to excellence in customer service and support.”

ISPreview understands that the announcement was made at an all-hands meeting earlier today and, perhaps due to this, there’s currently not a lot of customer-facing information being provided. But our sources tell us that Cuckoo could close as soon as the end of this month. Equally, it seems likely that there may now be more redundancies, although this has yet to be confirmed.

Such deals would normally be accompanied by detailed customer information or FAQs on timescales, pricing commitments and contract changes (where applicable), but at present the above is all we have. Naturally some of Cuckoo’s customers will not be happy with this and may wish to switch to a different provider, thus we’re currently awaiting some clarification on how they’ll handle this.

One other big question mark is whether this agreement will enable Onestream to finally start selling access to APFN’s own consolidated full fibre broadband network (covering the former networks of Jurassic Fibre, Swish Fibre and Giganet), which for a long time has stopped being available to new customers via Cuckoo. The timing of today’s announcement does roughly align with our previous report on this (here).

UPDATE 2:51pm

Onestream has issued a press release of its own, which confirms that the agreement will result in the ISP “doubling” their customer base to 150,000 (this suggests that somewhere around 75,000 customers are being moved).

In addition, APFN and Cuckoo have also responded to some of our questions:

1. Will Cuckoo allow customers, such as those already out of contract, to switch to a different ISP if they don’t want Onestream?

“We will be transferring customer contracts to Onestream based on their current service, terms and conditions and price, as set out in their contract, so the early termination and cancellation provisions will continue to apply.” – Cuckoo spokesperson

2. How many redundancies, if any, are expected from the Cuckoo side?

“All roles within Cuckoo will be placed at risk of redundancy and we are entering into a period of collective consultation. Naturally, this is a difficult time for the team, and our priority is to make sure everyone feels supported throughout the process.

I would personally like to thank every individual affected by today’s news for their hard work and dedication to the Cuckoo business.” – Sarah Hill, Managing Director, Cuckoo

3. What is the timescale for the customer migration?

“We are dedicated to ensuring a smooth transition period for customers. Timescales are being finalised, and customer communications are now being issued as part of a structured transition plan.” – Cuckoo spokesperson 

4. Are there any customer FAQ/information pages available on the deal?

“Customer FAQs will be made available online once the migration timelines are finalised. We will be in touch.” – Cuckoo spokesperson

5. So far, Cuckoo has not been able to allow new customers to sign-up to use APFN’s own-built consolidated fibre network (formerly Jurassic Fibre, Swish Fibre and Giganet). Will Onstream be able to take orders for customers wanting to join that network?

“APFN is finalising a unified footprint for the former Swish Fibre, Jurassic Fibre and Giganet networks. It will be published on the Aquila platform to give partners clear visibility of all serviceable premises. We will share an update once this exciting step goes live, alongside ongoing platform improvements.” – APFN spokesperson