Easynet
- Founded
- 1994-01-01 in 39 Whitfield Street, London, United Kingdom
- Headquarters
- London, United Kingdom
- info@easynet.co.il
- Phone
- +972 950 928 6
Easynet was a pioneering UK-based managed services and internet connectivity provider that played a formative role in the early European internet. Founded in London in 1994 by David Rowe and Keith Teare, the company initially operated as an ISP and evolved into a full-service managed network, hosting, and unified communications provider serving business customers globally. Easynet made history in 2001 as the first operator to unbundle a local loop from British Telecom’s network, delivering its own broadband service over copper lines. The company expanded through strategic acquisitions, including the purchase of Ipsaris’ fibre backbone in 2001 and the Dutch broadband firm Novaxess in 2004. After being acquired by BSkyB in 2005, the Easynet brand was sold to Lloyds Development Capital in 2010 and later merged with MDNX in 2013. In 2015, Easynet was acquired by Interoute, ending its independent existence. At its peak, Easynet operated offices across Europe, Asia Pacific, and the United States, serving a broad base of enterprise and public-sector clients. The Easynet Connect brand, launched in 2008, focused specifically on UK small-to-medium businesses.
Detailed Review
History and Founding
Easynet was founded on 1 August 1994 by David Rowe and Keith Teare, operating from an office at 39 Whitfield Street, London – the same building that housed Cyberia, the UK’s first internet café. Easynet supplied Cyberia’s internet access. The company floated on the Alternative Investment Market (AIM) in March 1996 at 100 pence per share, raising £2.6 million. Within months, the share price dropped to 38.5 pence amid a broader technology market downturn.
Local Loop Unbundling Pioneer
Easynet became a key challenger to British Telecom in the broadband sector. In January 2001, it was the first operator in mainland UK to unbundle a local loop from BT’s network and deliver its own broadband service. In 2004, Easynet launched LLUStream, an 8 Mbit/s service that directly competed with BT’s wholesale broadband offering.
Acquisitions and Growth
The company’s growth was fuelled by acquisitions. In June 2001, Easynet acquired Ipsaris from Marconi Communications in an all-share deal worth £300 million. Ipsaris operated one of the UK’s largest fibre backbones (3,500 kilometres of optical fibre along canal networks). The deal gave Marconi a 72% stake in Easynet, but a subsequent slump in demand led Easynet to mothball much of the fibre network and write down its value from £350 million to £15 million. By July 2003, Marconi had sold its entire stake. In March 2004, Easynet acquired Novaxess Beheer B.V., a Dutch broadband company with 84 unbundled exchanges and 4,500 business customers, for £26.2 million.
Later Years and Acquisition
The acquisition by BSkyB was cleared in December 2005 and completed in 2006. Under Sky, the Easynet brand continued but much of its original innovative drive was lost. In 2010, BSkyB sold the Easynet brands and customer base to Lloyds Development Capital (LDC), the private equity arm of Lloyds Banking Group. In 2013, LDC sold its stake to MDNX, which then merged with Easynet to form a larger managed services group. Finally, in 2015, Interoute acquired the combined entity, bringing the Easynet independent story to a close. The company’s legacy includes being an early unbundler of local loops in the UK and a pioneer in delivering business-grade integrated network, hosting, and communications services. The Easynet Connect brand, created in 2008, provided internet access specifically for SMEs.
Key Products
Easynet Global Services
Core managed services portfolio: integrated networks (MPLS, VPN), hosting (dedicated servers, colocation), and unified communications (voice, conferencing) for enterprises worldwide.
Easynet Connect
A separate brand launched in 2008 for UK small-to-medium businesses. Provided internet access connectivity (DSL, fibre) with business-grade support.
LLUStream
A broadband service (up to 8 Mbit/s) announced in 2004 that used local loop unbundling to compete directly with BT’s wholesale broadband product.
Ipsaris Fibre Network
A 3,500-km national fibre backbone acquired via the Ipsaris purchase in 2001. Used to provide high-capacity connectivity for carriers, ISPs, and businesses.
Unbundled Local Loop Services
First-mover local loop unbundling (LLU) in the UK, enabling Easynet to offer its own ADSL broadband over BT’s copper lines from 2001.
Key Persons
- David Rowe
Co-Founder & CEO
- Keith Teare
Co-Founder & CTO