Feeds

Brussels smiles on 3G network sharing

O2/T-Mobile tie-up close to approval

  • alert
  • submit to reddit

Intelligent flash storage arrays

Rival 3G operators 02 and T-Mobile are close to receiving approval from the European Commission to share network capacity in the UK.

Formal approval depends on follow a month of consultations among interested parties, but this seems increasingly unlikely to block the process. A green light from Brussels would also allow O2 and T-Mobile to link up their networks in Germany.

By sharing network capacity operators could save around a third of the cost of in setting up 3G networks, the FT estimates. As well as saving cash-strapped telcos huge amounts of money, sharing network capacity minimises the need to erect further mobile phone mast, increasingly seen as eyesores and viewed by some as a possible heath risk.

O2 spokesman Simon Gordon said the network sharing arrangement is expected to save the two operators £1.2 billion in capital expenditure over the next ten years. By working together on linking up their networks, both O2 and T-Mobile will enjoy greater coverage when services launch, he added.

The Commission's decision on the O2-T-Mobile deal is expected to act as a blueprint for future co-operation in sharing network costs.

In the UK, O2 and T-Mobile are proposing to share urban base station sites. The countryside will be split into various regions or territories where one or other of the operators will build and run a 3G network, which can be used by the other service provider.

The Germany arrangement is less specific about setting up territories.

Competitors, particularly in Germany, are expected to make some criticism of these arrangements and seek to obtain restrictions or guarantees on the deal from Brussels. Its also possible different telecoms policies from rival parties fighting the forthcoming German elections might have an effect.

These factors might modify the deal, but are most unlikely to break it, after the Commission gave its first indication this week that it intends to approve the 02/T-Mobile deal on some terms. ®

Related Stories

BT confirms 3G building contract with Deutsche Telekom
Hutchison signs 3G leasing deal with mmO2

Internet Security Threat Report 2014

More from The Register

next story
NSA SOURCE CODE LEAK: Information slurp tools to appear online
Now you can run your own intelligence agency
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
NASA launches new climate model at SC14
75 days of supercomputing later ...
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Cloud unicorns are extinct so DiData cloud mess was YOUR fault
Applications need to be built to handle TITSUP incidents
BOFH: WHERE did this 'fax-enabled' printer UPGRADE come from?
Don't worry about that cable, it's part of the config
Stop the IoT revolution! We need to figure out packet sizes first
Researchers test 802.15.4 and find we know nuh-think! about large scale sensor network ops
SanDisk vows: We'll have a 16TB SSD WHOPPER by 2016
Flash WORM has a serious use for archived photos and videos
Astro-boffins start opening universe simulation data
Got a supercomputer? Want to simulate a universe? Here you go
prev story

Whitepapers

Driving business with continuous operational intelligence
Introducing an innovative approach offered by ExtraHop for producing continuous operational intelligence.
The total economic impact of Druva inSync
Examining the ROI enterprises may realize by implementing inSync, as they look to improve backup and recovery of endpoint data in a cost-effective manner.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Simplify SSL certificate management across the enterprise
Simple steps to take control of SSL across the enterprise, and recommendations for a management platform for full visibility and single-point of control for these Certificates.