Virgin Media 2009 Annual Report Download - page 17

public sector businesses, while our wholesale customers include primarily mobile and fixed-line service
providers, systems integrators, or SIs, and internet service providers, or ISPs.
Retail Customers
Private Sector
Our private sector retail services focus on the telecommunications needs of small businesses to
large, national corporations. Centralized telephone account managers serve small organizations (with
50 to 99 employees), while regionally-located account, service and project management teams,
supported by pre-sales technical consultants, provide service to medium and large U.K. businesses (with
over 100 employees). We believe that our local presence and the resulting level of service we provide is
a key differentiator in this mid-market segment, and that the benefits of this strategy are reflected in
the long-term relationships held with many of our private sector customers.
Public Sector
Our public sector retail services are structured around industry-specific segments, such as local
government, education, health and emergency services. This enables us to provide sector-specific
expertise where an understanding of the drivers and procurement processes of publicly funded
organizations are necessary for efficient deployment of communications solutions. We believe that the
inclusion of Virgin Media Business as an approved supplier under various government framework
agreements acts as both an enabler of growth of our market share in this sector and an endorsement of
our track-record, commitment and capability to offer value to publicly funded organizations.
Wholesale Customers
Our wholesale services are structured around the network requirements of the different types of
service providers. Specialized account and service management teams support carriers, mobile
operators, SIs and ISPs. We provide predominantly data connectivity services, both in terms of local
access and core networks, including high bandwidth connections between a site and the core network.
Content Segment
Our Content Segment, managed through Virgin Media TV, provides non-premium television
channels to the U.K. multi-channel broadcasting market. As of December 31, 2009, Virgin Media TV
offered seven genre-based entertainment channels and six additional time-shifted, or ‘‘multiplexed,’’
channels which provide a time-delayed rebroadcast of content on our channels. The Virgin Media
channel portfolio includes Virgin1, Living, Bravo, Challenge and Challenge Jackpot.
Virgin Media also owns a 50% interest in the companies that comprise the UKTV Group, a series
of joint ventures with BBC Worldwide. Together, Virgin Media TV and the UKTV Group are the
largest supplier of basic pay channels to the U.K. pay television market. UKTV operates ten channels,
including G.O.L.D., Yesterday, Eden, Alibi, Blighty, Good Food and Dave, as well as associated
multiplexed channels.
On April 1, 2009, we sold our sit-up reporting unit which operated a portfolio of auction based
retail television channels and was formerly included within our Content segment. We formerly
participated in a joint venture with Setanta Sports Limited and Setanta Sport Holdings Limited for the
production of a 24-hour sports news channel, Setanta Sports News. However, in June 2009, Setanta
Sports Limited and Setanta Sport Holdings Limited commenced proceedings for administration and
receivership, respectively. As a result, Setanta Sports News ceased to broadcast with immediate effect.
Following discussions with the administrator and the receiver, we agreed terms for the dissolution of
the joint venture in February 2010.
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