Sky to offer broadband services over CityFibre full-fibre network

In what represents a massive win for the UK’s largest independent full-fibre platform, CityFibre has signed a long-term partnership with Sky that will see the broadband provider offer gigabit services to customers on CityFibre’s nationwide full-fibre network.

Sky Broadband currently has a customer base of 6.7 million across the UK and Ireland, with services in the UK delivered by BT’s broadband provision division Openreach, making it the second-largest residential provider in the UK after BT. Over the past 10 years, Sky Broadband has, on average, received fewer complaints to regulator Ofcom than any other provider. BT’s share price was reported to have taken a fall directly after the CityFibre contract was announced.

Sky entered the business broadband market in March 2021 with its Sky Connect product. At launch, Sky said it saw small businesses as the growth engine of the economy and that Sky Connect had been developed as a partner to help them succeed. Sky assured that it would focus on partnering with small businesses to provide them with a better broadband experience – purpose-built business products, exceptional service, and simple pricing and packaging, with no hidden fees.

Commenting on the deal, CityFibre CEO Greg Mesch said: “This partnership with Sky is a huge vote of confidence in our business and has cemented CityFibre’s position as the UK’s third digital infrastructure platform. With demand for digital connectivity continuing to grow, CityFibre’s network can provide the quality and reliability that people need and the infrastructure competition the UK deserves.”

Sky’s managing director of connectivity, Amber Pine, added: “Sky’s new partnership with CityFibre will mean we can provide fast, reliable and great value broadband to more homes across the UK. This will mean we are able to reach even more people with full-fibre, which is essential for the modern home.”

Sky’s full-fibre broadband is expected to be available on CityFibre’s full-fibre network from 2025. Longer term, this will include over 1.3 million homes in hard-to-reach areas through CityFibre’s participation in the UK government’s Project Gigabit programme.

The £5bn infrastructure scheme was introduced in 2021 with the aim of accelerating the UK’s recovery from Covid-19, firing up high-growth sectors such as tech and the creative industries, and levelling up the country by spreading wealth and creating jobs. On its launch, the previous government said it would prioritise areas with slow connections that would otherwise be left behind in commercial broadband companies’ plans and give rural communities access to the fastest internet on the market, helping to grow the economy.

Earlier in 2024, just after securing the subsidised roll-out of gigabit-capable infrastructure to 218,000 rural properties in Norfolk, Suffolk and Hampshire, CityFibre was awarded five new contracts under Project Gigabit to supply gigabit access to more than 202,000 rural properties that would otherwise be excluded from roll-outs by the major service providers.

CityFibre is also committed to accelerating the upgrade of its entire network to 10Gbps XGS-PON, supporting the introduction of an expanded symmetrical multi-gigabit product portfolio for its ISP partners.