BT and Vodafone should get a room!

September 11, 2006

1 Min Read
Brits Get Cozy

11:45 AM -- Vodafone Group plc (NYSE: VOD) shocked no one today when it announced it would wholesale DSL services from BT Group plc (NYSE: BT; London: BTA) so it could offer a broadband/mobile combo to its U.K. customers. (See Vodafone UK Offers DSL.)

It's de rigueur for mobile carriers to branch into fixed services these days, and Vodafone had flagged up this move earlier in the year. (See Vodafone Unveils Convergence Plans.)

Perhaps more interesting is the ever growing relationship between the two British carriers. BT sources the GSM mobile service as part of its fixed/mobile convergence service, Fusion, from Vodafone, and now Vodafone is buying broadband from BT. (See BT Goes Blue.)

Why don't they just get a room? Then CEOs Ben Verwaayen and Arun Sarin could get down to the nitty gritty and create a global fixed/mobile powerhouse before a private equity consortium, or some other well-funded entity, swoops on BT. (See Would DT Buy BT? )

Go on, chaps, make it the Best of British!

— Ray Le Maistre, British Empire Editor, Light Reading

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