ONO (Spain)
| Company type | Private |
|---|---|
| Industry | Telecommunications |
| Predecessor | Cableuropa |
| Founded | 1998 |
| Fate | Acquired by Vodafone Spain; brand discontinued in 2019 |
| Headquarters | Spain |
Area served | Spain |
Key people | Dick Callahan (associated with Callahan Associates International) |
| Products | Bundled telephone, television, Internet services; MVNO mobile services; business communication solutions |
Number of employees | Around 1,000 jobs cut in 2006 (exact number not specified) |
| Parent | Cableuropa (initially), later Vodafone Spain |
ONO operated as a Spanish company specializing in broadband communication and entertainment, delivering bundled telephone, television, and Internet services to residential clients. It managed 3.7 million active subscriptions and served more than six million users.
Founded in 1998, ONO’s parent entity Cableuropa (established in 1992) engaged in competitive bidding processes following the enactment of Spain's General Telecommunications by Cable Act 42/95. Between 1996 and 1998, ONO obtained licenses to provide cable television and telecommunications services across various regions such as Valencia, Castellon, Alicante, Murcia, Cádiz, Huelva, Cantabria, Majorca, and Albacete. Towards the end of 1998, an agreement was reached with Dick Callahan’s Callahan Associates International involving financial investment and operational management.
As ONO rolled out its advanced network throughout these territories, customers gained access to its combined TV, telephony, and Internet offerings. By late 2002, approximately one-third of households within its coverage zones were able to subscribe to ONO’s services. In 2003, ONO secured a license for Castile-La Mancha and expanded further by acquiring Retecal in 2004, thereby entering the Castile and León market.
The acquisition of Auna Tlc in November 2005 marked a significant milestone for ONO, establishing it as Spain’s foremost broadband communications and entertainment provider. This transaction broadened its presence to include Aragon, Andalusia (excluding Cádiz and Huelva), the Canary Islands, Catalonia, La Rioja, Madrid, and Navarra.
On 17 March 2014, Vodafone Spain declared its intention to acquire ONO for €7.2 billion, subject to regulatory approval. The ONO brand was officially discontinued on 8 April 2019.
Company background
By the close of the first quarter of 2008, ONO had amassed a customer base of 1.8 million and had deployed a next-generation network reaching over 6.85 million households and enterprises. Over the preceding year, it expanded its coverage by adding 414,000 new homes—a growth rate of 6.4% compared to the previous period.
ONO constructed its own cable infrastructure throughout Spain; where such infrastructure was unavailable, it delivered telephony and Internet services through Unbundled Local Loop (ULL) technology.
Following Vodafone’s takeover, ONO ceased all operations and discontinued service provision.
Key shareholders of ONO comprised:
- Multitel (21%)
- CCMP Capital (15.2%)
- Providence Equity Partners (15.2%)
- Thomas H. Lee Partners (15.2%)
- Quadrangle Group (9.1%)
- GE Structured Finance (8.9%)
- Caisse de dépôt et placement du Québec (6.7%)
- Grupo Santander (4.5%)
- Sodinteleco (4.5%)
History
In 1998, ONO acquired licenses permitting construction of its next-generation network across eleven Spanish regions.
- May 2004: Purchased Retecal—Castilla y León’s cable operator—investing €30 million to improve financial stability.
- August-November 2005: Completed acquisition of Grupo Auna’s telecommunications division for €2.2 billion; integrated Auna’s cable assets to become Spain’s leading broadband and entertainment competitor against Telefónica.
- Following the Auna deal: Secured investment from venture capital firms including JP Morgan Partners, Providence Equity Partners, Thomas H. Lee Company, GE Capital Services Structured Finance Group, and Quadrangle Group.
- End of 2005: Initiated broadcasting of new Digital Terrestrial Television (DTT) channels.
- 2006: Executed a workforce reduction program affecting around 1,000 employees.
- December 2006: Entered into an agreement with Telefónica to operate as a mobile virtual network operator (MVNO).
- End of 2007: Rolled out "ONO io," a service integrating fixed-line and mobile telephony.
- 2008: Announced plans to deliver broadband speeds up to 100 Mbit/s utilizing DOCSIS 3.0 technology after investing more than €9 billion in network expansion.
- 2009: Successfully launched DOCSIS 3.0-based connections offering up to 50 Mbit/s in selected areas within Madrid.
ONO corporate services
ONO delivers a wide range of communication solutions tailored for businesses throughout Spain, which include:
- Telephone offerings featuring sophisticated options beyond standard lines and handsets, utilizing VoIP technology to integrate multimedia into communication systems.
- High-speed internet access through broadband connections.
- Managed services encompassing security measures, hosting solutions, online backup, ASP applications, and e-learning platforms.
ONO residential services
Since its inception in 1998, ONO has provided bundled packages of telephone, television, and internet services through its exclusive cable network, catering to more than 1.8 million direct subscribers.
ONO launched ONO io, the first fixed-mobile convergent phone in Spain designed for home users, delivering intelligent devices capable of accessing both fixed and mobile networks; however, the acceptance of new subscriptions is currently on hold.
Internet
Subscribers have the option to select from internet plans with the following speed tiers:
- 50 Mbit/s download / 5 Mbit/s upload
- 120 Mbit/s download / 12 Mbit/s upload
- 300 Mbit/s download / 30 Mbit/s upload
Television
Through Hybrid Fibre-Coaxial infrastructure, ONO allows multiple televisions within a household to simultaneously access diverse programming.
Its services feature OJO, a video on demand (VoD) platform, along with TiVo, a sophisticated digital video recorder (DVR).
Fixed phone service
ONO’s fixed-line offering includes unlimited domestic calls to all landline numbers (limited to 60 minutes per call) with a monthly line rental charge of €15.
Mobile phone service
After the deregulation of Spain's mobile sector in 2006, ONO obtained an MVNO license and collaborated with Telefónica to utilize its network. This enabled ONO to become the fourth operator in Spain providing quadruple play packages—fixed telephony, mobile telephony, internet, and television—competing directly with Telefónica, Orange, and Euskaltel.
Main competitors
In the fixed telephony and broadband sectors:
Within the pay-TV market: