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BT's 4G mobile service to launch mid-week

by Mark Tyson on 23 March 2015, 12:05

Tags: British Telecom (LON:BT.A), Sky, Everything Everywhere

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BT will launch a 4G mobile service later this week reports The Daily Telegraph. The new service will be based upon BT being an MVNO of EE – an arrangement which was made before BT moved to acquire EE from Orange and Deutsche Telekom. The 4G service will, at least initially, only be available to BT's 7.6 million Broadband subscribers.

BT Mobile is to be the name of the service, the launch of which marks BT's return to consumer mobile telecoms after a 15 year absence. It was previously hinted that BT would sell the 4G mobile service to its internet customers at very much a cut-down price – in the same way it bundles its Sports TV and Wi-Fi access to these customers. However the pricing strategy seems to have been softened with its successful EE acquisition proceedings. It isn't so keen in stirring up the market right now.

In pricing terms the Telegraph says that BT has chosen to create packages that are below comparable offerings from the likes of EE, O2 and Vodafone but still not quite as good value compared to the likes of Three and GiffGaff.

Furthermore we hear that BT's customers are not going to be plied with contract deals including handsets. This MVNO venture will be a SIM-only one, as the handset business and such contract activities can start when the EE takeover is completed and BT gains the infrastructure for that business model. All the EE assets, bricks and mortar stores and logistics will fall into its lap later this year to facilitate contract sales with handsets.

Looking at the competition, Sky, one of BT's fiercest rivals, will become a 'quad-player' MVNO, thanks to a deal with O2, starting from some time in 2016.



HEXUS Forums :: 5 Comments

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However the pricing strategy seems to have been softened with its successful EE acquisition proceedings. It isn't so keen in stirring up the market right now.
Ah, a taste of the American mobile market. This is why consolidating providers is a bad idea.
edzieba
However the pricing strategy seems to have been softened with its successful EE acquisition proceedings. It isn't so keen in stirring up the market right now.
Ah, a taste of the American mobile market. This is why consolidating providers is a bad idea.
Agreed!
Would like to have seen some cut down prices for being a BT internet user.
BT has announced BT Mobile and its tariffs. Prices start at £5pm for existing customers which nets 200 mins and 500MB 4G data.
If it's anything like there broadband service, it will be pants.