Carphone Warehouse has reported a minor slump in figures for broadband take-up, but says that it’s not concerned. The mobile retail outlet which owns and operates TalkTalk and AOL UK, added 89,000 customers during Q2 three months to the end of September, down from the 126,000 seen in the last quarter, but the company said it was pleased with progress at its fixed-line business.
However, CW said it expects to add an extra 200,000 broadband customers throughout the rest of the business year. It has been suggested by competitors that due to the very public teething problems that the TalkTalk brand suffered during its first few months, many of those original customers who signed up for 18 month with CW will leave once their contracts have expired – Charles Dunstone said he had seen “no particular uptick” in TalkTalk customers leaving as their contracts ended.
AOL have just relaunched their services, providing free wireless routers to all customers and signing a deal with Dell which sees customers who sign up for two years netting a free laptop – CW have been reluctant to heavily promote this straight away and have instead been focussing on LLU and migrating customers from connections accessed via BT Wholesale – which nets CW a monthly loss of £5 per customer – onto their own network.
Carphone Warehouse are expected to net a fair amount of coin this winter through a deal inked with Be Broadband burgermeisters O2 – who are set to launch their own broadband service very soon – and Apple which sees CW retail outlets getting first dibs on the ubiquitous iPhone.
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