Auditel Consultant:
Denis & Rhys Brennan

Orange outsources fixed-line network to BT

16 Apr 2010 | Filed under: IT, News, telecoms

In the first important strategic decision since the merger of Orange and T-Mobile last month, the company has announced it is abandoning its own fixed-line telephone network in the UK and handing it over to BT . Bt will integrate this into its own network and observers believe this will significantly improve performance for Orange’s broadband customers.

This move reflects the similar approach taken by Vodafone which also uses the BT network to provide broadband services to its customers and follows a move by Kingston Communications to do the same last year. The point of these moves is to allow the operator to significantly reduce costs through outsourcing to what, by virtue of scale, is a more efficient network and we can expect Orange to become a more significant competitor in the broadband space to The Big Three, BT (retail), Virgin Media and Talk Talk. We may see prices fall as a result. You can read the whole story in The Times http://business.timesonline.co.uk/tol/business/industry_sectors/telecoms/article7099128.ece- still free. If you would like a free healthcheck for your business to determine if you can reduce your overheads by outsourcing responsibility to Auditel, or, if you just want to benefit from our knowledge of the UK telecoms markets, call 01554770816 or email Auditel.