Mobile News understands that The Carphone Warehouse is planning on completing the acquisition of Cellcom by June 9 depending on due diligence and other formalities.

Cellcoms French operation CMC is excluded from the deal.

Carphone Warehouse managing director Charles Dunstone told

Mobile News:

We are in conversations with Cellcom. An announcement of our intention to acquire Cellcom was made to their employees. They were told it was likely that Cellcom would become part of The Carphone Warehouse. I cant say much more because of confidentiality and a commercial considerations. We still need to consult Cellcoms suppliers and employees further before we announce all our intentions.

Cellcoms marketing director Jack Knight had already tendered his resignation and will leave Cellcom soon to set up a retailing consultancy called Symbion.

Knight indicated that he was leaving because of the changes that were afoot at Cellcom.

The market has changed. The world has changed. I looked and thought Im not sure I want to do what it is turning in to. I made a decision to go.

Dunstone denied that (Cont P2) ownership of a service provider was part of a pre-flotation plan saying that Cellcom would still be a small part of the The Carphone Warehouse organisation.

There is no relationship between this move and any future plans for flotation. This is purely a commercial deal designed to keep CPW at the forefront of customer service Dunstone said.

The Carphone Warehouse wants to strengthen its virtual network brand Value Telecom which is administered by Cellcom. Dunstone is looking to develop fixed line and internet access options for Value Telecom as part of this particular brands development.

Ownership of a service provider would also give The Carphone Warehouse its own billing engine.

The company is convinced the continued integration of fixed mobile and non-voice communications is fundamental to its future growth.

The acquisition of Cellcom which has around 60000 subscribers would be in line with The Carphone Warehouses strategy to provide a seamless service from the initial retail purchase through to billing and customer care.

Cellcoms share holders include the Rothschild Investment Trust and Cellcom chairman Paul Cohen.

The Wales-based company which conects through Cellular Operations in Swindon denied rumours last month that it was facing receivership but admitted to difficulties and making 48 people redundant (Mobile News May 30).1st Line employed hundreds of tele-sales operators who cold-called people at home.

They are the triple-band WAP-enabled T36 and the first GPRS phone with Bluetooth the triple band R520. The R520 phone also supports High Speed Data (HSCSD) and wireless connectivity with the built-in Bluetooth chip.

There is also a calendar with different views; month week day and a tasks list. Automatic synchronisation with a PC via WAP/internet Bluetooth infra-red technology or cable is possible.

The R520 features a loudspeaker which gives it speakerphone functionality and a proximity switch to switch from speakerphone mode to regular mode as the phone is brought towards the ear.

On the T36 a built-in Bluetooth chip makes wireless connectivity possible between the phone and other mobile devices.

The T36 features WAP and supports High Speed Data (HSCSD) to send and receive data as fast as a landline modem 28.8 kb/s as opposed to GSM which allows for 9.6 kb/s. This makes it capable of sending and receiving large amounts of data over the internet at high speed. It is also the first triple-band (GSM 900/1800/1900) phone from Ericsson and first mobile phone to have built-in Bluetooth wireless technology for cableless connection to headsets and other devices.

The built-in Bluetooth radio chip acts as a connector between the headset and the phone. The user presses a key on the headset and use the voice recognition feature in the T36 to answer or initiate the call.

Much of the menu system can be accessed using voice commands. The T36 has a WAP 1.2.1 browser. High Speed Data (HSCSD) brings the internet to the T36 several times faster than a standard GSM connection.

Its emergence along with GPRS (General Packet Radio Service) means that mobile Internet behaviour and usage patterns will change as large-file transfer become possible with a mobile phone says Ericsson.

The T36 supports WAP 1.2 recently developed to enable secure mobile e-commerce transactions. With the Ultra Slim Battery there is up to 455 minutes talk time and up to 200 hours standby time.

Three more dealers have been named as breaking the rules of the FCS Crime Prevention Scheme as follows. They are Sajad Khan and Sajid Sadiq (Mobile World 119 Wellgate Rotherham South Yorkshire S60 2NH) and Rajindr Singh (Network Communications UK 150-154 Central Market St Marys Street Cardiff CF5 1AD)

Another dealer Christian Coker (82 Cromwell Way Kidlington Oxon OX5 2LL.) has been restored to Good Standing under the FCS Crime Prevention Scheme Coker has undertaken to comply with the Rules of the Scheme. Anyone in the industry is now free to (Cont P2) trade with Coker subject to the Rules of the Scheme.

Networks service providers and distributors must check with the FCS website and ensure that they are not dealing with dealers who are currently operating outside the rules of the Scheme and have been named as such said James Malcolm manager of the FCS Crime Prevention Scheme

In addition to checking our website industry members should always feel free to liaise directly with our CPS inspectorate to ascertain whether any new dealer approaching them for network connection service provision or handset supplies is deemed to be is Not in Good Standing or operating under a separate name. It should be remembered by all industry members that those who trade with a dealer Not in Good Standing are themselves in breach of the Schemes rules.

The group is quitting retail because of eroding profit margins and the dominance of pre-pay and voucher sales in the consumer market.The company is currently in negotiations with a purchaser for its retail operation. But chief executive Tony Farmer would give no hint as to the buyers identity.

Said chairman Bob Kennedy:

The intention of the company has been to become a complete communications operator embracing all areas and aspects or providing total solutions for corporate and business customers. The concept of convergence in the use of a common platform for voice and data and also the bringing together of fixed and mobile technologies is now a reality and one which is firmly reflected in our business strategy.

On July 13 JWE announced its results for the year ended March 31. These showed overall losses after tax of 5.76 million compared with a profit of 191000 for the same period last year.

Most of these losses were the write-off arising from the acquisition of Midland Phones in 1998. Had it not been for this JWE would have made an operating profit of 1341000. Sales of 23.9 million were up 16.6 per cent over the previous years 20.5 million.

Lumina the BTCellnet service provider formerly known as Martin Dawes will now be run by Nigel Knight who is currently managing director of MobilePhone Stores.

DX Communications managing director Peter Gibbard will continue in that role reporting to Knight. This has amused some BTCellnet watchers who say Knight and Gibbard have not enjoyed the closest working relationship in the past.

Logan has not revealed his future plans. It is understood his resignation has been promoted by the ill-health of his wife Barbara.

However there is a strong rumour that he may be joining Martin Dawess Breathe.com internet company.

Logans departure is a blow to BTCellnet managing director Peter Erskine who made Logan into one of BTCellnets highest-flying executives. Logan worked for BT for 10 years including three years leading BT Mobile and in the last two years as director of customer service and sales. He was recently given the job of running Lumina (formerly Martin Dawes Telecommunications) and DX Communications.

Said Erskine:

His achievements are many including the delivery of a new billing system which many say was impossible as well as revolutionising our retail strategy through acquisition of the Martin Dawes DX and Mobile Phone Stores.

.

He told Mobile News:

I want to pursue personal and business activities outside CellStar. Its a start-up venture related to non-distribution activity. There are issues with regard to restrictive covenants.

Jones is still at Cellstar serving out his notice period. The company is currently being run by interim managing director Brian Semple who has been deputy MD.

An industry source hinted that Jones had been made a scapegoat for the serious trading losses incurred by the trading division due to theft and fraud by certain foreign customers.

The losses occurred in late March and April during the purchase transfer of title and transport of six shipments of wireless handsets with a total value of approximately $3.2 million.

TAG will supply Virgin Mobile-branded accessories to 86 Virgin Megastores 217 Our Price outlets and Virgins call centre and e-commerce website.

TAG has designed special packaging for the accessories which will be shipped to Virgin Mobiles central warehouse. TAGs merchandising team will work with Virgin Mobile staff at store level with training display advice and product information.

TAG will also provide Virgin Mobile a product management service to ensure the Virgin shops stock the most popular handset accessories.

The investors are believed to be businessmen Alan Hemmings and Keith Hughes. Hemmings reportedly owns a motorcycle retailing operation called Motorocycle City while Hughes is said to be involved in the container business.

Joint managing director Amjad Baig confirmed that a deal was close to being announced. But he declined to make any further comment due to the sensitive nature of negotiations and confidentiality agreements.

Industry sources indicate that around 25 per cent of The Phone People might be up for sale for around 5 million. Baig said this amount was not necessarily correct adding that he would be taking legal action against Mobile News should we report incorrect figures.

In April Baigs business (Cont P2) partner Jason Pickthall told Mobile News Phone People was in potential takeover talks with the networks with One 2 One tipped as the hot favourite to buy the 125 stores

But One 2 One sales director John Barton said last week:

One 2 One has no interest in The Phone People and will not be acquiring any equity.

Pickthalls preference was for an investor to take a stake in the company.

Pickthall admitted then that The Phone People had encountered difficulties from its rapid growth but he denied the company was in crisis.

In April he told Mobile News:

We have our problems but we are not only beginning to see light at the end of the tunnel but we are starting to come through the tunnel.

Over the past 12 months the company has been run in too much of a lackadaisical way. You can perhaps get away with doing things that way if you have 30 or 40 stores. When you have 125 stores you need to perform.

Mobile News understands Baig and Pickthall will continue to run the company in the event of any partial sale to outside investors.

Peter Bamford remains chief executive of Vodafone UK. Reporting to him will be David Jones Ian Gray Paul Donovan Mike Pinches and Andy Halford.

Jones moves from running Vodafone Connect to Managing Director (Sales & Distribution). He will co-ordinate sales strategy across all UK markets including retail indirect sales including dealers and multiple distribution.

Vodafone Retail MD Ian Gray is managing director Customer Operations responsible for all customer care teams and call centre operations including Credit Management Billing and IT related activities.

Commercial director Paul Donovan becomes managing director Commercial with accountability for all marketing activities product and service-focussed groups including a new multi-media business unit and handset purchasing and logistics activities.

Vodafone technical director Mike Pinches who has been with Vodafone since 1985 is now managing director Networks responsible for all network operations including data and paging and technology strategy and development.

Vodafone UK managing director Alan Harper is now group strategy director.

Reporting to David Jones will be Ken McGeorge who is now MD of Indirect Sales.

Brand marketing director Helen Keayes becomes acquisitions marketing director reporting to Paul Donovan.

Said Bamford:

This is a substantial change to the way we operate. Our new structure will achieve a much greater integration of activities and concentration of our skills.

It allows us to refocus our resources on the key priorities of the future as we seek to realise the tremendous business potential presented to us as we move into the internet and multi-media age.