O2 and BT team up for 4G deal
O2 is going to dole out millions of pounds to BT so it can bolster its network to meet the predicted demand for 4G access. This deal will inevitably mean that the mobile vendor will run a network for BT in return. In return, on top of the cash incentive, BT will manage O2's data.
When the 4G signal is switched on, it looks like there'll be a huge amount of products on the market coming from all corners, assumed to be worth around half a billion quid over the next decade.
O2 have been saying that they think new technology will see a fivefold rise in demand for mobile data by 2016 and that internet access around 10 times faster than its existing 3G networks.
"With the UK’s 4G spectrum auction complete, UK mobile data traffic is set to grow by more than 400 per cent by 2016," said Adrian Di Meo, chief technology officer at O2. "We are moving quickly to get O2 up and running," added Chet Patel, managing director of BT Wholesale Markets.
With Sky, BT's main rival, not having a mobile outlet, this could really heat things up in the market as they try and trounce each other (hopefully meaning they'll court our affections with a variety of good offers).