The Czech units of Telefonica (O2) and T-Mobile are in talks about sharing their LTE mobile networks before the end of the year. The aim of the potential agreement is faster LTE rollout and better coverage, exceeding requirements set down by the…
The Czech units of Telefonica (O2) and T-Mobile are in talks about sharing their LTE mobile networks before the end of the year.
The aim of the potential agreement is faster LTE rollout and better coverage, exceeding requirements set down by the regulator.
“A shared network would bring better service to more customers and make network maintenance easier,” O2 CR, controlled by billionaire Petr Kellner’s PPF Group, said in a statement.
The operators plan to share networks in all areas of the Czech Republic – both urban and rural – except Prague and Brno. T-Mobile would take responsibility for managing the network in the western part of the country, while O2 CR would look after the network in the east.
O2 CR CEO Luis Malvido noted that LTE sharing is becoming a trend in Europe, as evidenced by successful cases in France, Sweden and the UK.
Meanwhile, T-Mobile CEO Milan Vasina said the agreement will enable the companies to achieve efficiencies and therefore allow for further investments in infrastructure and services.
As is the case in other countries, the operators will keep their network infrastructure separated and follow their own business strategies.
The Czech telecoms market has undergone significant changes recently: PPF entered the market via its majority stake acquisition in O2 CR; numerous MVNOs launched; and mobile operators acquired LTE spectrum.
Earlier this month, private equity firm Mid Europa Partners and its co-investors sold their 39% stake in T-Mobile CR to controlling shareholder Deutsche Telekom.