T-Mobile and Three sign deal

By Editorial Team (Tuesday, 18th December 2007)

T-Mobile (Deutsche Telekom) and Three (Hutchison Whampoa) have signed a deal to officially share their third generation (3G) networks in the UK.

3G networks are used for utilities such mobile phone internet browsing and it is thought that a collaboration will be used to expand regional wireless coverage.

Reporting the story, Bloomberg speculated that the move could prevent Three being bought over by an outside company.

"When you collaborate you can reduce the costs,'' explained Hannes Wittig, an analyst at JPMorgan Chase & Co, on Bloomberg's site.

The news provider also reported that spokespeople at Three and T-Mobile declined to comment on the story.

Three and T-Mobile are both in the list of top five operators in the UK but the Guardian today speculated that T-Mobile may be looking to buy Three if owners Hutison Whampoa lowers its price.

Orange has also announced a deal with Setanta, the pay-TV group known for their sports coverage packages, which allow access to certain sites for a monthly fee.

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