Member Info for Aus3009

It’s all outside existing franchise area.

https://www.broadbandtvnews.com/2020/02/14/virgins-project-lightning-passes-two-million/

So project lightening has passed you by then.

Might be wrong, but I don’t think there is any case where OFCOm would or could force access to Virgin ducts etc. You are right if it’s not in their commercial interests to open up wholesale services then they won’t. If they are, that’s kind of my point, because in this case the commercial interests of openreach and Virgin are not aligned

I’m pretty sure most people will be able to work out

Openreach cut under these conditions will be vastly reduced, if indeed any of their poles or ducts need to be be used.

Virgin Media will not have their profits cut, this will be a new venture, a new revenue stream which doesn’t exist, until it does

Only loser here is openreach, if Virgin / O2 can only cover their costs or make a small profit.

Virgin moving towards wholesale model

https://www.ispreview.co.uk/index.php/2021/04/hints-of-virgin-media-uk-wholesale-in-liberty-property-request.html

I don’t necessarily agree with your analysis of a strike. Not until someone can tell me the various service level agreements etc with other operators don’t count during a strike? If they all apply & other businesses who rely on BT staff delivering for their business keep expecting service, I would guess CWU will be in a strong position

I agree public opinion my not get behind it, but why should CWU care about that?

Not seen that. That’s an inch in the wrong direction

5G licenses could make a big hole in the finances?

Last half hour will be interesting. Recently we’ve seen speculators take the money. If they stay, they think there’s more profit to come..... I guess?

I got myself an Apple TV box. I thought I would carry on missing SKY

I don’t miss it at all. Now tv, iTunes, Netflix, terrestrial live channels etc etc fantastic.

What drives the sudden last minute push for this share, I see it time and time again, either reviving late in the day, or alternatively forced lower after a day of steady increase ?

Seems strange when compared to other shares ?

Larry - mostly good, but there is a potential 30% profit to be made on investment.

I’m not saying BT will do this but ....

It is possible in BTs case to reduce investment to 30% less than their current corporation tax payment, this would then allow them to benefit from the 30% profit margin available under these plans.

This would have the opposite, desired effect of reduced investment in BT’s case, this to me indicates for broadband roll out this is a bad policy, because BT can only make profit by reducing investment or..... there’s more policy down the line.

I repeat not saying BT would do this, but by my understanding they could & ac30% margin on investment seems attractive if there’s nothing else in it for them.

Okay, so it’s all looking clearer after BT’s press release. It sounds like this is only 2 years relief, based on what they are saying, they do not see this as an opportunity to spend massive over two years, then claim tax relief over many years, so this doesn’t look anything other than saving from their corporation tax bill over 2 years (not brilliant in my opinion for a 10 year build or to replace £5bln promise)

This also pre-supposes this investment will qualify.

C3 - haha yes in 1988 share price was £2.40

I don’t think I would swap this tax cut for the original £5bln cash promised by bozo Johnson

Larry - yes. It won’t take long some fool will soon be accusing you of being negative.

There’s not much in it, but I was thinking the government isn’t going to give away money, they are only letting companies pay less tax,

Therefore BT can only save the amount they pay in corporation tax, circa £440mln, I was thinking what ever that figure is that’s the max, unless they can carry on claiming the 2 years investment in years 3,4,5,6 etc, which I think someone thought they could?

It’s good news, but as always it’s the detail which matters & will determine how good.

Fleccy - I don’t think there is a case to spend as much as they can, unless they can carry on claiming tax relief over next 10 - 15 years

If BT only pay £300mln in tax, they can only ever claim £300mln back or £210mln if they want to maximise profit.... if they spend more tan £210mln (for this example) they reduce profit opportunity

This is good news, but it’s only 130% of their investment costs from tax over / years.

I don’t think BT can invest a huge proportion of their planned £12bln over the next 2 years & if they did, I don’t think they pay enough tax, in order to save.

I’d like to see this roll over to subsequent tax years, could leave Bt not paying tax for next 10. To 15 years

That’s my understanding, 2 years, up to 130% of investment from their tax Bill.

Fleccy - the problem with living in the past is you lose perspective

In the 90s the cable industry were nothing more than startups, SKY too wasn’t far short of a startup TV only company.

Mobile hadn’t undermined fixed line voice

It’s almost like you don’t understand the difference in revenue between BT owning a retail customer & BT only owning the wholesale relationship

& I’ve never said “destroy BT “ only compete with

I can think of two reasons why Vodafone and sky would want to leverage objections, it doesn’t take a rocket scientist.