Feeds

Vodafone eyes annual savings of £2.5bn

Squeeeeze the suppliers

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Vodafone is to cut costs by £2.5bn per year by March 2008. It will do this a combination of £1.4bn through cost-saving measures and £1.1bn through revenue initiatives.

The mobile network operator will exploit its size to buy in bulk, and will generate additional revenue by eliminating duplicated effort. In other words, the handset makers and network equipment vendors are in for years of tough negotiations.

The company told analysts and investors today that it will employ a "build once, deploy many times" development strategy to reduce time-to-market on new services. It aims to reduce mobile capital expediture to less than 10 per cent of mobile revenue by 2008.

Arun Sarin, chief executive, reiterated guidance for the financial year, saying that he expected to generate £7bn in free cash flow, this year. Some of this will go into increasing dividend payments - more information is promised in November to accompany the publication of half-yearly results.

The money will also come in useful for acquisitions: Voda remains interested in acquisitions in France, eastern Europe, Asia and Africa, Sarin said. ®

Related stories

O2 shuns 3G hype
Voda plays Santa with 3G bonanza
Vodafone to bring Blackberry 'Charm' to Europe

Related link

Vodafone's last annual report is here (pdf).

Internet Security Threat Report 2014

More from The Register

next story
Download alert: Nearly ALL top 100 Android, iOS paid apps hacked
Attack of the Clones? Yeah, but much, much scarier – report
Broadband sellers in the UK are UP TO no good, says Which?
Speedy network claims only apply to 10% of customers
Virgin Media struck dumb by NATIONWIDE packet loss balls-up
Turning it off and on again fixes glitch 12 HOURS LATER
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Fujitsu CTO: We'll be 3D-printing tech execs in 15 years
Fleshy techie disses network neutrality, helmet-less motorcyclists
Facebook, working on Facebook at Work, works on Facebook. At Work
You don't want your cat or drunk pics at the office
Soz, web devs: Google snatches its Wallet off the table
Killing off web service in 3 months... but app-happy bonkers are fine
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
The hidden costs of self-signed SSL certificates
Exploring the true TCO for self-signed SSL certificates, including a side-by-side comparison of a self-signed architecture versus working with a third-party SSL vendor.