BT and EE Finalise and Sign UK Mobile Virtual Network Operator Deal

BT has today signed a multi-year agreement that will allow them to build a new Mobile Virtual Network Operator (MVNO) platform and services using EE’s 2G, 3G and 4G based network in the United Kingdom, which also means they’ll be “carefully” parting ways with their existing MVNO partner Vodafone UK.

The fixed line telecoms giant, which currently provides a range of mobile services to large corporations, the public sector and small and medium-sized enterprises, claims that they decided to “seek a new mobile partnership last year” and will work to ensure “a seamless transition for customers” from their existing Vodafone platform. BT also has a strong public wifi division, which it apparently “plans to build on” with today’s deal.

At this stage it’s too early to say precisely what BT intends to do in the future and indeed we’re still waiting to see what last year’s £201.5m acquisition of 4G (LTE) based Mobile Broadband spectrum in the 2.6GHz band will bring to the table (here). Back then the operator said that the new spectrum would be used to “provide its business and consumer customers with an enhanced range of mobile broadband services” and improved wifi connectivity.

One other point to note surrounds the growing rumours that Vodafone are looking to sign some sort of broadband, mobile and or TV related deal with BSkyB (Sky Broadband), or possibly another ISP with influence in the United Kingdom, which could potentially have created a concern for BT (here). On the other hand EE already has a mobile and fixed line broadband service, although the latter already uses BT’s fixed line platform.

In semi-related news BTOpenreach are currently conducting field-trials of a new Mobile Infill Infrastructure Solution (here), which is intended to help provide mobile services into parts of the country that suffer from “non-existent or patchy” coverage (i.e. rural areas).