Mobile operators T-Mobile and 3 have signed a five-year agreement with BT to connect 7,500 of their base stations to BT’s high speed next-generation broadband network.
The deal was struck between BT Wholesale and Mobile Broadband Network Ltd (MBNL), a joint venture between 3 and T-Mobile. Mobile Broadband Network was established to provide 98% of the UK with access to high-speed HSDPA mobile broadband by 2010, thus making it the largest network in the country.
Mobile phone providers are being urged to increase their data transmission speeds as more and more users make wider use of mobile broadband. This need for speed has been highlighted as part of the five-year plan. Rival mobile operator Vodafone already signed a similar deal in April, with O2 following suit last May. Orange is now the only major mobile operator in the UK without such a deal.
As part of the agreement, BT will lighten the load of the network operators by carrying data from their mobile broadband services over the newly planned fibre optic network. This is known as backhaul. The deal will be worth several hundred million pounds - a large and welcome boost to BT’s business arm, which has suffered from a recent drop of revenues as companies such as Carphone Warehouse have stopped using its products.
The technology director at T-Mobile UK, Emin Gurdenli said: “This agreement with BT will make sure backhaul is not a constraint now or in the future at a time when T-Mobile is experiencing strong growth in mobile broadband and other mobile data services.”
The release of the Apple 3G iPhone, Google’s G1 and other smartphones such as the N96 are fuelling the current popularity of mobile broadband. As demand further increases, mobile providers will need to make sure that the networks they control can handle the increased volume of data traffic.
The managing director from BT Wholesale Markets, Brian Fitzpatrick said: “BT now supports the base station connectivity requirements of four of the five mobile players in the UK market, bringing our economies of scale to a hugely important element of the communications marketplace.”
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