THE HAGUE, The Netherlands -- KPN has kicked off 2007 with a new organizational structure built around the customer rather than around technology and products. Its former fixed and mobile divisions have now made way for the new business and consumer customer segments. The main reason for the changeover is that in today’s telecommunications world, where distinctions between technologies are rapidly blurring, what customers want is one-stop shopping. For business customers in particular, this has long been an issue.

KPN CEO Ad Scheepbouwer explains: “The shift to a new multimedia environment is in keeping with KPN’s strategy of making customers and their needs the focus of our range of services, customer relations and marketing approach. We believe this can contribute significantly towards increasing our market share, sales and profitability.”

KPN’s organization in the Netherlands comprises three other segments besides business and consumer customers: Wholesale & Operations, IT Netherlands and the Corporate Center. As of January 1, 2007, KPN B.V. will offer the mobile and fixed services formerly offered by KPN Mobile The Netherlands B.V. and KPN Telecom B.V. as these two companies merged. The mobile subsidiaries E-Plus in Germany and Base in Belgium are a part of Mobile International.

KPN Telecom NV (NYSE: KPN)