Arcor

Arcor is a German telecommunications service provider, founded in 1997, headquartered in Eschborn. The company offers internet access, telephone, and broadband services, and is one of the major telecom operators in Germany. It is now part of Vodafone Germany.

Arcor was established in 1996 as Mannesmann Arcor AG & Co. KG, a joint venture formed by Mannesmann, Deutsche Bank and DBKom, the telecommunications subsidiary of Deutsche Bahn. Its creation reflected the liberalization and restructuring of the German telecommunications market, where new operators sought to challenge Deutsche Telekom's long-standing dominance in fixed-line services. The company developed a business spanning fixed telephone connections and Internet access and became one of the most important alternative providers in Germany. The business was technically distinctive because it operated an ISDN network independent of Deutsche Telekom's network. This infrastructure allowed Arcor to offer fixed-line voice and data services under its own network arrangements rather than functioning only as a reseller of the incumbent's services. It also introduced flat-rate tariffs for ISDN lines, making it one of the first German providers to offer customers a predictable recurring price for extensive ISDN use. As Internet adoption increased, Arcor expanded its relevance through ADSL broadband access. Mannesmann's acquisition by Vodafone changed the ownership context of the company. Following Vodafone's takeover of Mannesmann, the business adopted the shorter Arcor AG & Co. KG name while continuing to operate as a major German fixed-line and Internet provider. Vodafone held the controlling interest, but Deutsche Bahn and Deutsche Bank remained minority shareholders. On 19 May 2008, Vodafone purchased those remaining interests, reported as 18.17% from Deutsche Bahn and 8.18% from Deutsche Bank. This gave Vodafone complete ownership and removed the minority-shareholder structure that had existed since Arcor's formation. By 2008, the associated Vodafone Germany fixed-line operation had approximately 2.1 million ADSL customers and 1.1 million ISDN customers. Arcor was regarded as the second-largest German fixed-line provider after Deutsche Telekom. Its scale made it an important component of Vodafone's effort to combine mobile, fixed-line, voice and broadband services in the German market. Arcor also maintained a visible consumer and public-facing presence. From 2002 through 2006, it sponsored Hertha BSC, a major football club in Berlin. In 2007, reports that the provider had blocked a limited number of adult websites led to a censorship controversy. The issue involved questions about whether Internet providers should restrict access to websites lacking adequate age-verification systems and whether private network operators should impose access controls in response to legal complaints. After Vodafone obtained full ownership, the Arcor name was retired from the fixed-line and Internet business on 1 August 2009. The operation was subsequently represented under Vodafone's German branding. Arcor is therefore a historical telecommunications brand rather than an active standalone company. Its principal legacy is as a major German challenger to Deutsche Telekom, an operator of independent ISDN infrastructure and an early participant in flat-rate fixed-line and broadband pricing.

• 2011

  Former Arcor legal entity is deleted

  [2]Arcorde.wikipedia.org

  Arcor AG & Co. KG was removed from the commercial register and no longer existed as an independent legal entity.

• 2009

  Arcor is rebranded as Vodafone

  [5]Arcor is historyheise.de

  On 1 August, the Arcor corporate identity and product brand were replaced by Vodafone as part of the integration of fixed-line and mobile operations.

• 2008

  Vodafone becomes Arcor's sole owner

  [4]Vodafone completes acquisition of minority interests in Arcorvodafone.com

  Vodafone bought the remaining shares held by Deutsche Bahn and Deutsche Bank and completed its takeover of Arcor.

• 2007

  Internet access-blocking controversy

  [10]Internet access-blocking controversyheise.de

  Arcor's temporary blocking of selected adult websites generated a public dispute over content controls, age verification and the responsibilities of Internet service providers.

• 2006

  Expansion of next-generation network technology

  [2]Arcorde.wikipedia.org

  Arcor increasingly migrated portions of its voice network toward next-generation network technology and ended its Hertha BSC shirt sponsorship.

• 2005

  Launch of Arcor Sprache VoIP

  [2]Arcorde.wikipedia.org

  Arcor entered the IP-telephony market and began adding voice services delivered over broadband networks.

• 2002

  Arcor becomes a main sponsor of Hertha BSC

  [9]Arcor becomes a main sponsor of Hertha BSCtagesspiegel.de

  Arcor began a prominent sponsorship of Berlin football club Hertha BSC, increasing consumer visibility for the telecommunications brand.

• 2000

  Vodafone takes control through the Mannesmann acquisition

  [8]Vodafone takes control through the Mannesmann acquisitionvodafone.com

  Vodafone's acquisition of Mannesmann brought Arcor into the Vodafone group, after which the company operated under the Arcor AG & Co. KG name.

• 1999

  Acquisition of o.tel.o's fixed-line business

  [2]Arcorde.wikipedia.org

  Arcor acquired the fixed-line telecommunications business of o.tel.o communications, significantly expanding its network and customer position.

• 1996

  DBKom enters a new Mannesmann and Deutsche Bank venture

  [2]Arcorde.wikipedia.org

  Communications Network International acquired a 49 percent interest in DBKom, the former telecommunications arm of Deutsche Bahn, laying the corporate foundation for Arcor.

• 1996

  Mannesmann Arcor is established

  [3]Vodafone history and milestonesvodafone.de

  The combined business began operating as Mannesmann Arcor AG & Co. KG during the creation of Germany's liberalized fixed-line telecommunications market.

A large German alternative fixed-line and Internet provider positioned against Deutsche Telekom, with emphasis on independent network infrastructure, ISDN services, broadband access, business connectivity and flat-rate pricing.

• Fixed-line telecommunications · 1996

  Arcor Fixed-Line Telephony

  Arcor's core business was fixed-line voice service for households, businesses and institutional customers. The company used its own long-distance and regional network infrastructure while relying on access arrangements for portions of the local loop. Its principal competitive advantage was the ability to offer an alternative to Deutsche Telekom with separate pricing, bundled calling plans and a network that reached a large number of German exchanges.

• Digital telephony

  Arcor ISDN

  ISDN was one of Arcor's best-known product areas. The company marketed digital telephone connections to consumers and business users and associated the brand with ISDN packages and flat-rate calling. ISDN supported multiple channels and supplementary digital services at a time when German households and small businesses were moving beyond conventional analog telephone lines.

• Broadband Internet

  Arcor ADSL Internet

  Arcor's ADSL service provided fixed broadband Internet access and was commonly sold with telephone connections or flat-rate Internet packages. The product helped shift Arcor's identity from a long-distance telephone challenger to a broader residential communications provider competing in the rapidly expanding German broadband market.

• Telecommunications tariffs

  Arcor Flat-Rate Tariffs

  Arcor marketed flat-rate packages covering combinations of fixed-line calling and Internet use. These offers were central to its consumer positioning because they simplified billing and emphasized predictable monthly costs. The packages were designed to differentiate Arcor from Deutsche Telekom and other providers during the period when broadband adoption and fixed-line price competition were accelerating.

• Voice over IP · 2005

  Arcor Sprache VoIP

  Arcor Sprache VoIP was Arcor's IP-telephony service, introduced in 2005 and initially integrated with the company's Personal Internet Assistant environment. The service reflected the industry's transition from circuit-switched voice to broadband-based communications. From the end of 2006, Arcor increasingly used next-generation network technology for voice delivery in selected access arrangements.

• Online services

  Arcor.de Portal and E-mail

  The arcor.de portal supported consumer Internet services including e-mail and, for a period, personal web space and hosting. Arcor's online activities developed through the company's involvement with germany.net and related services. Although the telecommunications brand was retired in 2009, some legacy portal and e-mail functions continued beyond the brand transition.

• Enterprise telecommunications · 1996

  Arcor Business Network Services

  Arcor provided business customers with leased lines, data connectivity, fixed-network services and other communications infrastructure. These offerings used the company's national network and complemented its household telephone and broadband products. Business telecommunications remained part of Arcor's portfolio from its early corporate formation through its integration into Vodafone.

• 2007

  Blocking of selected adult websites

  Arcor temporarily blocked access to a small number of adult websites after concerns were raised about their age-verification practices. The decision became a public controversy because it placed an Internet access provider in the role of restricting access to content and prompted debate about legal standards, private enforcement and network neutrality.

  Source

Read more

• 2006Hertha BSC loyalty campaign

  Germany

  When Arcor continued its relationship with Hertha BSC for the 2006-07 season as an exclusive partner, the partnership included a loyalty campaign aimed at Hertha supporters.

  Outcome. The sponsorship did not continue as Hertha's primary shirt partnership after the 2005-06 season.

  Source
• 2002Hertha BSC main sponsorship

  Germany

  Arcor became a prominent sponsor of Berlin football club Hertha BSC, using shirt sponsorship and club association to build consumer recognition in the German market.

  Outcome. The partnership continued through the 2005-06 season and ended when Deutsche Bahn became Hertha's main sponsor in 2006.

  Source

• 2009

  Retire the Arcor brand and integrate fixed-line products into VodafoneStrategy

  Background

  Vodafone wanted to present mobile, fixed-line, Internet and television services under one German consumer identity rather than maintain separate Vodafone and Arcor brands.

  Action taken

  On 1 August 2009, Arcor AG & Co. KG was renamed Vodafone AG & Co. KG and Arcor products were transferred into Vodafone's product portfolio.

  Aftermath

  Arcor ceased to exist as an independent telecommunications brand. Vodafone AG & Co. KG later merged with Vodafone D2 GmbH in December 2009.

  Source

• 2008

  Vodafone buys the minority interests in ArcorM&A

  Background

  Vodafone had controlled Arcor through its ownership of Mannesmann but Deutsche Bahn and Deutsche Bank still held minority stakes.

  Action taken

  Vodafone acquired Deutsche Bahn's 18.17 percent holding and Deutsche Bank's 8.18 percent holding, becoming Arcor's sole shareholder.

  Aftermath

  The transaction enabled Vodafone to combine its mobile business and Arcor's fixed-line operations under a single German strategy and management structure.

  Purchase price for minority interests. EUR 474 million (May 2008)

  Source

• 2006

  Migrate selected voice services to next-generation networksGeneration change

  Background

  The economics of broadband delivery encouraged Arcor to reduce dependence on traditional circuit-switched voice technology.

  Action taken

  Arcor began moving parts of its conventional voice service toward NGN infrastructure, initially focusing on broadband customers and access arrangements where direct local-loop access was unavailable.

  Aftermath

  By late 2008, Arcor was offering customers a choice between conventional ISDN and NGN-based access in relevant products.

  Source

• 2005

  Introduce Arcor Sprache VoIPProduct launch

  Background

  Broadband access was enabling fixed-line providers to move voice traffic from traditional circuit-switched systems to IP networks.

  Action taken

  Arcor introduced a Voice over IP product and initially integrated it into its Personal Internet Assistant environment.

  Aftermath

  IP telephony became increasingly important in Arcor's access strategy and supported the later migration toward next-generation network architecture.

  Source

• 1999

  Acquire o.tel.o's fixed-line businessM&A

  Background

  Germany's newly liberalized fixed-line market was consolidating as alternative operators sought scale, customers and network assets.

  Action taken

  Arcor acquired the fixed-line telecommunications business of o.tel.o communications.

  Aftermath

  The acquisition strengthened Arcor's position as the leading alternative fixed-line competitor to Deutsche Telekom and broadened its network and customer base.

  Source

1. 1Arcor (telecommunications)en.wikipedia.org
2. 2Arcorde.wikipedia.org
3. 3Vodafone history and milestonesvodafone.de
4. 4Vodafone completes acquisition of minority interests in Arcorvodafone.com
5. 5Arcor is historyheise.de
6. 6Vodafone and Arcor complete management integrationpresseportal.de
7. 7Vodafone Germany annual report, 2009media.corporate-ir.net
8. 8Vodafone takes control through the Mannesmann acquisitionvodafone.com
9. 9Arcor becomes a main sponsor of Hertha BSCtagesspiegel.de
10. 10Internet access-blocking controversyheise.de
11. 11Hertha BSC loyalty campaignbankkaufmann.com