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Plans for Virgin Media’s cost effective broadband solution terminated


Reports indicate that Virgin Media has decided to shelve plans for a cheaper broadband solution.

The plan, called Project Prosecco was conceived in 2016 with the aim of creating a new subsidiary called Ruby which would offer more budget broadband packages.

Setting up a new company to provide cheaper solutions is nothing new, Sky Broadband has Now Broadband and BT has Plusnet. Virgin had planned to emulate such tactics.

Virgin generally has more expensive tariffs than others as they offer a much quicker connections speed than most of the competition, who rely BT’s network infrastructure. Virgin had planned to set up the new venture with the aim of exposing themselves to a new market without losing any of their current customers by offering lower speeds at a lower cost

It is understood that the project was “almost ready to go” before they decided to pull the plug. This was in part due to huge price drops from Sky Broadband and Vodafone, the latter of which is a newer entrant into the market and is looking to cement their place as a key ISP.

Virgin Media is also believed to have though that Ruby could prove to be to much of distraction as it coincides with the broadband provider pumping billions into it’s TV and broadband services. Part of this is due to to the fact the Ruby would have required an entirely separate sales and customer service departments which they thought would have cost too much time and resources.

The news will come as a relief to other budget ISPs who are currently battling it out in an already saturated market.

Michael Quinn
Michael Quinn

Michael is a dedicated author helping usave to write guides, blogs and news for the last four years. When not writing articles, you can usually find him at wine tasting events or having a political debate on the night tube.

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