Orange and Vodafone consider cost cutting agreement

5 Jan 2009

British broadsheet The Guardian is reporting that mobile operators Vodafone UK and Orange UK are considering an agreement that would see the two companies share technology, engineering and maintenance costs. The two cellcos already share costs at some base stations in the country, but the new agreement is expected to integrate both operator’s 3G networks. Vodafone’s chief executive, Vittorio Collao, has stated that the operator is looking to cut costs by GBP1 billion (USD1.46 billion) by 2011. The deal follows a similar arrangement between rival cellcos T-Mobile UK and 3 UK, which in January 2008 formed Mobile Broadband Network Limited (MBNL), a 50/50 joint venture aimed at integrating the company’s respective 3G networks.

United Kingdom, EE, Vodafone UK