Ever since Deutsche Telekom fell out of love with T-Mobile UK, every other UK network has been rumoured as a potential buyer. Initially 3 was the favourite, then Vodafone stepped in and finally O2 and Orange appeared to be opening their cheque books at thebeginning of July. Now, after a summer of bidding and negotiation, we have a winner, and it is Orange!
The merging of these two networks into one will see the Orange/T-Mobile hybrid become the carrier with the largest market share in the UK, totaling 37%, and knocking leader O2 - with a now piffling 27% - off the top spot. Having built up a healthy 2% advantage over Vodafone during thelast two years - thanks in no small part by the iPhone - this is sure to hurt O2, but not as much as Vodafone will smart, having now been relegated to the third and last spot of the big UK players.
So that’s the situation from a business perspective, but what difference will it make to the consumer? Orange say the combining of the networks will give better coverage and quality for ‘both 2G and 3G services’ and the ability to invest in new technology.
Dotted lines are set to be signed at the end of October and for the following 18 months the two networks will continue to operate under their existing names, however during this time a new brand will be created.
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