Feeds

Virgin Mobile tipped to buy Danish outfit

Industry shake-up mulled

  • alert
  • submit to reddit

SANS - Survey on application security programs

Virgin Mobile is sniffing around Danish no frills, low cost mobile phone outfit, CBB Mobil, according to Reuters.

News of Virgin Mobile's interest in buying CBB coincides with last week's amicable resolution of a bitter row between Virgin Mobile and its 50:50 joint venture partner T-Mobile.

As part of the healing process, Virgin Mobile is also going to buy-out T-Mobile's share in the JV, paving the way for a possible floatation perhaps later this year.

And if Virgin succeeds in buying CBB it could lead to a massive shake-up of the mobile industry in the UK.

According analyst firm Strand Consult, operators such as CBB have helped revolutionise the Danish mobile market. Employing low-cost, no frills business models, these operators have forced down the cost of using a mobile phone.

In the last six months, for example, Strand reports that the price of a mobile minute has dropped from €0.17 to €0.09, while the cost of an SMS has fallen from €0.07 to €0.03.

Now, Strand is seeing the business models employed by this new breed of Danish discount operator being exported to other European countries. Virgin's interest, it seems, is to acquire that expertise and bring it to the UK.

As one senior industry source put it: "The mobile industry would be turned upside down in much the same way that the no-frill airlines have revolutionised the airline industry.

No one from Virgin Mobile was available for comment at the time of writing. ®

Related Stories

T-Mobile and Virgin settle long-running dispute
Virgin Mobile crows over record quarter

3 Big data security analytics techniques

More from The Register

next story
Virgin Media so, so SORRY for turning spam fire-hose on its punters
Hundreds of emails flood inboxes thanks to gaffe
A black box for your SUITCASE: Now your lost luggage can phone home – quite literally
Breakfast in London, lunch in NYC, and your clothes in Peru
AT&T threatens to pull out of FCC wireless auctions over purchase limits
Company wants ability to buy more spectrum space in auction
Turnbull leaves Australia's broadband blackspots in the dark
New Statement of Expectations to NBN Co offers get-out clauses for blackspot builds
Facebook claims 100 MEEELLION active users in India
Who needs China when you've got the next billion in your sights?
Facebook splats in-app chat, whacks brats into crack yakety-yak app
Jibber-jabbering addicts turfed out just as Zuck warned
Google looks to LTE and Wi-Fi to help it lube YouTube tubes
Bandwidth hogger needs tube embiggenment if it's to succeed
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.