O2 confirms broadband offering will not be nationwide

8 Aug 2007

British cellco O2 has confirmed that the residential broadband service it expects to launch this autumn will not be available to all of its UK customers. The Telefonica-owned mobile phone business intends to debut broadband in late September or early October this year after already delaying the launch three times. However, O2 customers living in parts of the country not covered by the company’s growing fixed-line network will not be offered the servce. An O2 spokesman said the forthcoming broadband service ‘would not be nationwide’.

Last year, O2 bought British broadband provider Be for GBP50 million (SD100 million), in the hope that adding cut-price internet access to mobile packages would reduce the number of customers defecting to rivals. Be’s broadband network covers roughly 50% of the UK, and O2 subsequently signed a wholesale deal with BT Group, ostensibly to broaden the reach of its service. However, O2 has subsequently decided against using wholesale products to take its service nationwide.

United Kingdom, O2 UK