News
T-Mobile mulling 3 UK bid?
Stuart O'Brien Sep 17 2007, 12:15pm
Proposed network sharing agreement gets the analysts talking.
News that T-Mobile and 3 are considering sharing 3G network infrastructure in the UK has sparked rumours of the former buying the latter.
The network sharing deal, which has not been signed, would see T-Mobile up its 3G coverage and will also allow for a more cost effective rollout of HSDPA technology by both companies.
In a note issued this morning, Ovum analysts Elsa Lion and Matthew Howett said: "This deal could be part of a broader strategic move by T-Mobile to acquire 3 UK.
Some dismiss this possibility by stating that a network sharing deal would in fact increase 3's price tag. This is true, but a deal would also enable T-Mobile to evaluate 3 as a business before buying - which comes at a price."
They go on to state that 3 is not officially for sale but point to signs suggesting that Hutchison 3G is currently working towards a divestment.
