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O2 Partners With BT to Boost Reception Nationwide

Gordon Kelly

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O2 Partners With BT to Boost Reception Nationwide

Could 2010 see O2 finally put its extensively documented network problems behind it? Could be...

Following on from news the telco is planning a £500m 1500 site expansion over the next 12 months, O2 has now confirmed it has entered into a formal five year, multi-million pound agreement with British Telecom which will see its 3G reception bolstered by BT's 21st Century Network (21CN). 21CN replaces BT's old Public Switched Telephone network (PSTN) and is Internet protocol (IP) based.

Nigel Purdy, Head of Networks at O2 UK said: “As we move to an all IP world and as data traffic volumes increase, the consolidation of our fixed and mobile core networks is a common sense approach that will help future-proof our business and provide the best possible service for our customers. BT Wholesale continues to impress O2 with its ability to deliver highly complex solutions. It is a trusted partner and we value its experience in managed services.”

“Our industry is witnessing a significant shift from commodity products to value-added managed services and this latest agreement with O2 is yet another example of how BT Wholesale is at the forefront of this industry transformation," added BT Wholesale Markets MD Brian Fitzpatrick. "The trend to outsource network requirements to BT Wholesale continues as operators look to stabilise their operational and investment costs, enabling them to concentrate on their customers.”

Why would BT agree to such a deal when mobile operators in general are largely seen as the biggest threat to its future and O2, in particular, is even planning a landline service? In short because BT is transforming increasingly into a managed network provider (this now provides 40 per cent of its annual revenue) and such deals are what will secure its future. So a) did BT make a mistake in spinning off O2? Without a doubt, but b) this agreement does make a lot of sense as the company looks to evolve.

All of which is a convoluted way of saying: hopefully O2 mobile broadband will suck less this year...

Link:

Press Release

BT 21CN

Mo

February 3, 2010, 9:40 pm

This, coupled with the Vodafone mast sharing agreement, I think O2 might just rise to the top! Quite positive for those with O2....I'm with VF and O2 so double goodness! :-)

ilovethemonkeyhead

February 3, 2010, 11:57 pm

hang on, i swear o2 was once bt cellnet back in ye olde days?

GherkingTR

February 4, 2010, 2:39 am

I'm less annoyed with their 3G coverage, more annoyed with their flagship phone that can get 2G reception everywhere *except* downstairs in my granite-walled house. Boooo.





"Hello. Hello? Wait. I'll go upstairs. Hello?"

Mathew White

February 4, 2010, 4:56 am

Given that I travelled on a Virgin cross-country train from Manchester to Bristol at the weekend and had absolutely NO 3G reception, NO GPRS reception and only occasional flashes of the Edge, I'm bloody THRILLED to hear this..! my iPhone displayed 'no service' for pretty much the entire 4 HOUR journey! NOT IMPRESSED, O2!

Gordon394

February 4, 2010, 8:38 am

@ilovethemonkeyhead - second last line ;) And yep it was, then BT formed BT Mobile at a later date which is virtually non-existent now (mainly bundled in b2b services)

DrDark

February 4, 2010, 2:53 pm

Ah, BT Cellnet, had a Philips phone on their network once. My how far we've come (yet still we whine about it*).





*which reminds me: http://www.youtube.com/watch?v...

Max

February 4, 2010, 5:21 pm

BT didn't have much choice in spinning off Cellnet. As always, one rule for British companies and another for continental ones...

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