Lagging its rivals, the UK's second-biggest mobile operator has finally revealed plans for the launch of VoLTE services.

Iain Morris, International Editor

July 10, 2015

3 Min Read
O2 to Launch VoLTE in 2016 After Q4 Trials

Telefónica UK plans to carry out trials of voice-over-LTE (VoLTE) technology between October and December with a view to launching commercial services sometime next year, Light Reading has learned.

The update from Telefónica UK Ltd. , which uses the O2 brand, comes days after EE , the UK's biggest mobile operator, confirmed it was on course to launch a VoLTE service this summer on "the market's most popular new handsets." (See EE on Track to Launch VoLTE in Summer.)

Number-three mobile player Vodafone UK is also aiming for a summer launch of both VoLTE and WiFi calling, while Hutchison Whampoa Ltd. (Hong Kong: 0013; Pink Sheets: HUWHY)-owned Three UK , the smallest of the country's mobile network operators, plans to introduce VoLTE in September. (See 3 UK to Launch VoLTE by September.)

Until now, O2 had been the only mobile network operator yet to announce firm plans regarding VoLTE services -- a sign, perhaps, of a more cautious approach to the rollout of new technologies.

"We're planning to trial VoLTE in Q4 so that our customers get the best experience when we launch the service next year," a spokesperson for the operator has told Light Reading.

VoLTE allows voice calls to run over the 4G network and is supposed to lead to improvements in call quality and a reduction in the time it takes to set up a call.

Moreover, operators that lack sub-1GHz 2G frequencies, which are better at providing indoor coverage than higher-band spectrum, are looking to introduce VoLTE using 800MHz airwaves -- awarded in recent government auctions -- to bolster voice services for customers using mobile phones inside buildings.

That arguably makes VoLTE a bigger priority for EE and 3, which do not hold any 900MHz 2G licenses, than O2 and Vodafone, each of which controls 2x17.4MHz of spectrum in this frequency range.

Nevertheless, Vodafone appears to be several months ahead of O2 on VoLTE and possibly hopes to gain a competitive advantage from the service quality improvements associated with the technology.

It may also be concerned about losing out to EE, which has been trying to build a reputation as the most technologically advanced of the UK's four mobile network operators.

For all the latest news from the wireless networking and services sector, check out our dedicated mobile content channel here on Light Reading.

Another factor in O2's development of VoLTE is a possible merger with 3.

Hutchison Whampoa has agreed to pay Spain's Telefónica £10.25 billion ($15.9 billion) for O2 and plans to merge it with 3 to create the UK's biggest mobile operator by customer numbers. (See Telefónica Seals $15.2B O2 Sale to Hutchison.)

3 had 8.4 million customers on its books at the end of last year and expects to serve 1 million VoLTE customers this year and 7.5 million in 2016.

During a previous discussion with Light Reading, Telefónica said it wanted to make sure VoLTE worked properly before introducing it more widely. (See Telefónica Aims High With Low-Band 4G Focus.)

"We want to make sure it's right and it's stable rather than rushing it out in one city just to make headlines, which you do see from time to time," said Mike Smith, Telefónica's head of global LTE activites, when talking about the operator's plans in Germany.

Vodafone Germany claimed to have beaten rivals to the rollout of a VoLTE service in March this year, while Deutsche Telekom AG (NYSE: DT) said at the time that it would begin selling VoLTE handsets by June. (See Vodafone Claims to Beat German Rivals to VoLTE.)

— Iain Morris, Circle me on Google+ Follow me on TwitterVisit my LinkedIn profile, News Editor, Light Reading

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About the Author(s)

Iain Morris

International Editor, Light Reading

Iain Morris joined Light Reading as News Editor at the start of 2015 -- and we mean, right at the start. His friends and family were still singing Auld Lang Syne as Iain started sourcing New Year's Eve UK mobile network congestion statistics. Prior to boosting Light Reading's UK-based editorial team numbers (he is based in London, south of the river), Iain was a successful freelance writer and editor who had been covering the telecoms sector for the past 15 years. His work has appeared in publications including The Economist (classy!) and The Observer, besides a variety of trade and business journals. He was previously the lead telecoms analyst for the Economist Intelligence Unit, and before that worked as a features editor at Telecommunications magazine. Iain started out in telecoms as an editor at consulting and market-research company Analysys (now Analysys Mason).

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