Versatel net loss: 35 million

Reacties uitgeschakeld voor Versatel net loss: 35 million
augustus 9th, 2006 Permalink

Dutch ISP and wannabe triple play provider Versatel presented a second quarter net loss of 35 million today. That’s up from the 0,5 million loss in the same period last year. The net loss includes some 6 million reorganisation costs regarding the take over by Tele2, the company that will become obsolete when calling will be free of charge at last.

Nice detail: Versatel now has 86.000 low margin expensive service, major technical nightmares triple play over DSL subscribers. That’s 14.000 short on the target they presented last year: 100.000 subscribers before December 1 2005. It’s August 2006 now…. hello???

In the business market, Versatel appears to be operating according to rumors that Tele2 wants out of the b-to-b market. The number of business contracts decreased with 2500.
Versatel concluded only 1 long year major IP-VPN contract to business clients. That’s less than we did with our much smaller Zoranet. We even scored direct hits against the wannabe triple play provider with total contract value (and connections) higher than the one they present. Customer selected Zoranet after extensive testing showed we had a better network, completer product at the same pricelevel. They might present small Bills, but we have a service that actually works.

Tele2 has a solution on hand to fight costs: they fire 200 people. Very nice indeed, because we are hiring. You love IP and routing? Check our vacancies.

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