13/05/2010

It's not T-Om it's Everything Everywhere

Orange UK and T-Mobile UK will be officially joined at the hip on July 1st when the networks are combined with UK roaming between networks. The new company name is Everything, Everywhere which CEO Tom Alexander said "is their name, vision and ambition". T-Om (T-Mobile - Orange Mobile sounds better though), both the ORange and T-Mobile brands are being retained.

The combined company will have over 700 retail stores and command 37% of the UK market which equates to over 30m users, O2 come second with 28%, Vodafone with 23%, with 3 having a small percentage.

The networks will be fully integrated, any overlaps combined etc. The reduced management overheads (for the two networks and management teams) is expected to bring savings of around £3.5bn, this on a turn-over of £7.7bn is where it all starts to make financial sense.

If they can combine the best assets of both companies (rather than the worst) they have the potential to keep their combined lead and offer innovative new services in both the mobile and fixed markets (Orange has a reasonably large consumer broadband offering).
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