Rat Infestation Chews Through London Broadband Provider
A significant UK broadband operator has been compelled into administration following extensive damage to its fibre optic infrastructure caused by hungry rodents. The company, known as G Network, which provides high-speed internet services across London, faced insurmountable repair bills after brown rats reportedly gnawed through critical cables.
Failed Rescue Bid Due to Hefty Repair Costs
Community Fibre, a competitor in the London market, had been actively considering purchasing G Network's assets in what could have been a rescue acquisition. However, the firm ultimately decided against proceeding with the deal due to concerns over the substantial costs required to fix the extensive rodent damage.
Graeme Oxby, Chief Executive Officer of Community Fibre, confirmed the abandoned rescue bid, stating to the Mirror that the structural issues presented by the damaged infrastructure would make repairs prohibitively expensive. "Rodents like ducts and they like fibres which are very tasty," Oxby explained. "We've not shown much interest as we believe it has quite a lot of structural issues and would be quite an expensive fix."
Administration Process Initiated
Fitzwalter Capital, a specialist firm that acquires distressed assets before repackaging them for sale, has submitted an application to appoint administrators at G Network. This development follows Fitzwalter Capital taking control of the broadband provider from its previous owners, the USS pension fund and Cube Infrastructure Managers.
The situation has drawn political attention, with Local MP and Labour Party Energy Secretary Ed Miliband recently questioning Openreach about measures to prevent widespread outages caused by similar incidents. This inquiry came after numerous complaints from residents and businesses experiencing broadband disruptions confirmed to be rodent damage.
Broader Implications for the Broadband Market
Oxby further commented on the state of the alternative network (alt-net) sector, suggesting that consolidation might not be the only solution for struggling providers. "Clearly there are going to be the distressed consolidations, maybe lender-led or specialist-led, but we don't feel that consolidation is the only answer," he stated.
"Recently it's seemed that alt-nets only exist to consolidate. We set up to be successful competitors to the incumbent and introduce some competition into the market... I think that's got lost a bit," Oxby concluded, highlighting concerns about market competition dynamics.
The incident underscores the vulnerability of critical infrastructure to unexpected environmental factors and raises questions about maintenance standards and pest control measures within the telecommunications sector.
