The merger of O2 and Virgin Mobile may well be a precursor to both telcos looking to exit the UK.
This is the view of top telco analyst Paolo Pescatore in a Mobile News XPO Virtual seminar now online
“They’ve done a great job of dressing it up to as wanting to be the national champion, But I see all paths leading towards a future IPO, when the parents of both companies are going to be exiting the UK market.
“If you look at the way the market has evolved over the last few years you have the O2 failed merger with Three and Virgin Media failing to reach an agreement with Vodafone, There are very few players to come together. Telefonica has a desire to exit the UL market and Liberty Global has been slowly retrenching from its position across Europe. So it felt more like a fit of both companies coming together to drive the value of the business.”
To view the entire interview click here, register and visit the SEMINARS section of the online show where you can also view seminars from industry experts including discussions on rugged phones, the challenge for mobile retailers, analysis of the latest device shipment figures.
