• Orange agrees exclusive talks with investment firm Verdoso over sale of its media services arm Globecast
• The French telco is also reportedly eyeing a sale of Viaccess-Orca
• It is pushing ahead with its TV exit as it focuses on core service offering

Orange has entered exclusive negotiations to offload its media services arm Globecast as the French operator continues to focus on its core telecom and digital services offerings.

The telco has signed an exclusivity agreement with Verdoso over a potential sale of Globecast – the media arm which supports rights holders, platform operators and broadcasters to distribute audiovisual content. Orange did not share any financial details about Globecast or what kind of price it might get for the business, though previous reports suggest the operation, which is part of Orange Business, generates revenues of just over €200m but is loss-making. 

Globecast was launched in 2001 and delivers television channels from their origins to their audience, as well as supporting live video feeds from events, such as the Paris 2024 Olympic Games, the Tour de France, and the G7 in recent years. It leverages hybrid infrastructure, including satellite, fibre and IP transit, to offer a range of end-to-end services.

French private investment firm Verdoso will now begin exclusive discussions with Orange directors about adding Globecast to its existing portfolio of 13 companies, which generate around €600m in combined revenues. Orange said employee representative groups will be consulted over the sale, with a possible completion date of before the end of 2026.

It marks the operator’s latest move to step away from broadcasting and focus on core business units, following reports last month that the French telco is also looking at selling off its video security and platform subsidiary Viaccess-Orca. French publication L’Informe (reported here by BroadbandTV News) reported that Orange has instructed investment bank Oddo HF to sound out potential buyers for the unit, which provides conditional access, digital rights management (DRM) and TV platform solutions to pay-TV operators and broadcasters.

Orange’s efforts to offload parts of its broadcasting portfolio are in line with its three-year strategy, Trust the Future, which it unveiled in February. During its Capital Markets Day, Orange CEO Christel Hedyemann said over the next three-year period the operator would focus on being and remaining “the trusted partner for everyday digital life – serving individuals, organisations and communities – by providing always-available connectivity and beyond that, innovative digital services.”

During its presentations, Orange outlined a focus on customer intimacy – notably across fixed and mobile – innovative growth and leveraging its scale as a global operator. However, there was little mention of its broadcasting and TV operations.

The operator previously exited the content production game with the sale of its pay-TV service OCS and Orange Studio to Canal+ Group.

This follows similar trends with operators around the globe, including BT which formed a joint venture with Warner Bros to house its former BT Sport unit. Reports last year claimed BT was also looking to offload its remaining stake in TNT Sports.

Meanwhile, Telia divested its TV and Media business in a $615m sale to Schibsted Media last year, and Telenor offloaded its 50% stake in Allente to partner Viaplay.

- James Pearce, Editor, TelecomTV