Senior investment bankers in the telecom sphere have told Reuters U.S. that Deutsche Telekom may have to sell its T-Mobile (UK) operation if its stalled deal with AT&T in the U.S. eventually collapses. T-Mobile forms half of the EE joint venture with Orange UK . (See AT&T Withdraws T-Mobile Merger Application , FCC Requests Hearing on AT&T/T-Mobile Merger and Govt Blocks AT&T/T-Mobile Deal.)

Panasonic, the Japanese consumer electronics giant, is to have another crack at selling mobile phones in Europe, reports Reuters, citing Nikkei business daily. The firm, which pulled out of the European market in 2005, is in talks with an unnamed major European operator, and plans to sell Android devices in the region.

A European Court of Justice ruling on Thursday will have been music to the ears of Internet service providers (ISPs) across the region, reports the EU Observer. In a precedent-setting case involving Sabam, the Belgian royalties-collecting organization, the court ruled that Netherlands-based ISP Scarlet B.V. could not be forced to filter Internet traffic or block users from illegally sharing copyrighted music or other files. (See EC Reports on Net Neutrality.)

Elsewhere in the Euro corridors of power, the European Commission has been threatening member states that are dragging their feet on implementing new EU telecom rules with possible financial penalties. It's not the first time they've been nagged -- a similar letter went out back in July. (See EC Acts Against Rulebreakers.)

U.K. incumbent BT has signed a €50 million (US$66 million) managed-services deal with energy firm FCC. The contract runs for five years, and will cover WAN/LAN services, fixed voice, videoconferencing and remote access for around 12,000 users located in 850 sites worldwide. (See BT Wins €50M Managed Services Deal and Euronews: BT Profits Up 36% in Q2.)

U.K. mobile operator Telefónica UK Ltd. (O2) has launched a "telehealth" service which enables medical staff to use their office computers to link up electronically and conduct remote patient-clinician consultations. Called "Side by Side" and already trialled in the draughty Western Isles of Scotland, the service combines video, audio and instant messaging features. (See O2 Launches Telehealth Service.)

— Paul Rainford, Assistant Editor, Europe, Light Reading