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Carphone Warehouse may bid for Tiscali

(03-04-08) - Carphone Warehouse could be a potential bidder for Tiscali, one of the UK’s biggest broadband providers, which went up for sale this week, according to reports.

writes Garnet Roach garnet@consumerchoices.co.uk

Other parties interested in the Italian giant’s UK arm, were BT (www.BT.com) and Sky (www.Sky.com), reported The Times this morning, though BT has said that a bid is unlikely.

Carphone Warehouse already owns two of the “big six” ISPs, AOL (www.AOL.com) and TalkTalk (www.TalkTalk.co.uk) and a source close to the company told The Times that Carphone Warehouse could be interested in Tiscali’s UK arm “at the right price.”

Michael Phillips, BroadbandChoices.co.uk product director, said: “As well as having a very large customer base, Tiscali is one of only four broadband providers to offer digital TV too. Buying Tiscali would allow Carphone Warehouse to better compete with the likes of Sky, Virgin Media and BT, with its BT Vision offering, when it comes to broadband bundles.

“However, if Tiscali is bought out by one of the ‘big six’ this will further consolidate the market and having an adverse affect on competition,” he warned.

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Page Last Updated: Thursday, 3-Apr-08