Over the three months to June 30 Vodafone lost 177000 mainly pre-pay customers leaving it with 11838290 users in the UK.

Contract and pre-pay ARPU rose by 2 to 279. The rise in ARPU marked an end to a four-year trend of falling figures. Yearly ARPU for the year to June was 119 (pre-paid) and 544 (contract) a rise of 1 and a fall of 11 respectively.

Vodafone data ARPU rose from 12 to 14 per cent worldwide with every market experiencing gains.

The company increased its worldwide subscriber base by 2.7 million to 103.9 million most gains coming from the US and Japan.

In contrast Orange added 415000 new UK customers in the first half of the year to reach 12.8 million at the end of June. Contract customers in the base increased from 28.6 per cent to 31 per cent.

The Orange Groups worldwide customer base increased by 2.1 million to 41 million up 16.6 per cent over the last year.

Oranges UK ARPU increased from 247 to 252 by the end of June. Contract ARPU increased from 548 in March to 555 in June. The pre-pay average moved a pound from 121 to 122.

Data contributed 13.9 per cent of revenues compared with 9.6 per cent for the previous half-year.

O2 enjoyed an increase in its subscriber base of 87000 for the quarter to the end of June. This came from 111000 new contract customers and a 24000 decline in pre-pay subscribers. O2 ARPU increased to 234 from 231 the previous quarter with contract ARPU up to 502 from 498.

T-Mobiles quarterly results have yet to be released but in the previous quarter it added almost 330000 users bringing its customer base to just under 10.8 million a year-on- year gain of just under 20 per cent.

Virtual operator Virgin Mobile added 171000 customers during the second quarter up 4.3 per cent on its first quarter results.

Virgin has blamed the failure on Singapores high penetration rate of mobile phone ownership which is around 76 per cent and a recession in the city-state which it claims has not recovered since the September 11 terrorist attacks on New York (see White Lines).

In a statement Virgin Group explained:

In light of difficult local retail trading circumstances in Singapore since September 11 last year both the Virgin group and its partner SingTel view the market as too saturated to sustain an otherwise successful virtual network operation.

The subscriber growth for mobile phone operators in the Singapore market has not been sufficient to sustain a new entrant in this marketplace.

Virgin says mobile phone subscriber connections in Singapore dropped from 60000 per month before September 11 to just 6000 afterwards.

However Virgin says its UK Australian and newly launched US operations remain unaffected by the Singapore failure.

A Virgin spokesperson said:

Virgin Mobile UK is completely unaffected by the situation in Singapore and continues to go from strength to strength.

Market conditions in other territories – both those currently operating and those planned to launch are very different from Singapore – which is experiencing a territorial economic downturn.

Virgins UK service launched in November 1999 and now has 1.8 million subscribers. The Australian operation has 220000 users.

Virgin Group chairman Sir Richard Branson launched the new Virgin Mobile US venture (which piggy-backs onto Sprints digital network) last month in Times Square.

In a typically Bransonesque publicity stunt he appeared naked except for a mock Virgin Mobile handset covering his nether regions. This was meant to show that Virgin had nothing to hide in its pricing.

The US service is being aimed at the youth market and will carry exclusive music and entertainment content from MTV VHS and CMT (Country Music Television) with m-commerce opportunities to buy CDs etc.

The T100 measures 99×43.5x 17.7mm and weighs 75 grams. It has up to 4.5 hours of talktime and up to 200 hours of stand-by time.

It features a gallery of 30 pictures 15 animations and 10 sounds which can be sent with 10 SMS templates for often-used messages. New images can be created with a picture editor.

Also from Sony Ericsson comes a stereo FM radio hands-free unit.

The HPR-20 radio and control unit connects to the phone with a cord and comes with a shirt clip and two stereo earpieces.

It has a blue-light display in which the frequency channel volume channel preset and bass level are shown. It too ships from next month says Sony Ericsson.

The Waltham Abbey-based company was part of the European Telecom group that went into receivership in May but operated as a separate company.

Over the past two years the company had seen its turnover fall from 4.4 million in 2000. In 2001 turnover was half that figure. The company had lost a number of clients including DX Communications and The Pocket Phone Shop which left when One 2 One (now

T-Mobile) acquired it and used its own accessories group.

Most recently the company lost its account with Virgin Mobile.

TAG was investigated by Luton Trading Standards officers in January 2001 for allegedly distributing faulty mobile phone chargers.

An investigation found the chargers to have false CE markings and certificates but TAGs Far East supplier was blamed.

O2 couldnt confirm how many dealers have been axed. However a spokesperson explained the network had tried to work with dealers to meet sales targets before referring them to a distributor.

The performance of our dealers is reviewed every month with them. If targets are not achieved the account manager will work with the dealer to try to improve targets said the O2 spokesperson.

This could include additional training or local marketing initiatives. If performance still does not improve then a further review will take place with the account manager.

If the decision is made to terminate the direct relationship we refer them to a distribution partner they may wish to work with.

On this basis we will during any year lose and gain trading partners. While it is regrettable that relationships do come to an end our account managers always work with each dealer to give them the means of improving performance.

The rumour followed last months news that Vodafone sacked about 50 dealers for not making enough connections (Mobile News May 27).

Iain Graham Vodafones head of dealer sales told dealers that they would be better off working with a distributor as they might get a higher upfront payment (see P28).

Handspring and mmO2 are getting together to develop new devices for use on mmO2 networks in Europe.

The announcement coincides with the launch of the Handspring Treo communicators that combines a GSM phone Palm OS organiser wireless email SMS and internet access.

The agreement means 3s services will be available in The Links 290 stores.

In December 3 signed similar retail agreements with The Carphone Warehouse and Phones4U adding a further 795 outlets to 3s three flagship stores and the unspecified number of stores-within-stores that will appear in Superdrug outlets throughout the year.

The Link managing director Nick Wood said:

Becoming an official distributor for 3 fits our profile perfectly. Our customers and visitors to our Futurelook Web site are very keen to know what 3G will offer.

Were delighted that 3 is giving us the opportunity to showcase its services on the high street and were looking forward to taking this next step in partnership with 3.

(see John Barton interview P14)

According to 57 per cent of people surveyed by WapOneline text messaging is also the preferred means of communicating on public transport because it eliminates the stigma of making calls in public.

Plimsoll has placed 162 companies in the dreaded Danger financial rating in its latest analysis.

The new 305 study based on the top 486 companies in the industry gives each company one of five ratings based on its financial standing over the last four years.

Companies are rated by Plimsoll as either Strong Good Mediocre Caution or Danger. The basis of this rating system is to easily spot good performance from the bad.

The mobile phone industry has too many companies chasing too little market says David Pattison senior analyst at Plimsoll.

These companies rated as

Danger have been in decline for years with a combination of increasing debts and low margins.

Many of these companies are at a stage where their debts are severely restricting the ability of the management to make even normal business decisions concludes Pattison.

Plimsoll Publishing says 82 per cent of 68 recent mobile comms company failures were rated as

Caution or Danger up to two years prior to their demise.

Around 115 companies were given a Strong rating as they benefit from less debt stronger balance sheets and average margins at a healthy 8.1 per cent.

Plimsoll Publishing has been rating companies on overall performance since 1987.

Called SafetyNet the system allows phone numbers diary dates and other important information to be uploaded onto a database then downloaded onto a new smart device if the original is stolen or lost.

SafetyNet will also enable owners to wipe the stolen device clean of all its information thus preventing thieves from misusing it.

One of the worst things about having a mobile stolen is the difficulty of reclaiming all the information that was stored on it said Paul Fennemore business development director at Intuwave.

Most people dont tend to keep written records so having an automatic back-up system will prove very useful.

This will become even more important as smartphones become prolific and the drive to ensure maximum safety of the increasing amounts of valuable data they hold becomes critical added

Fennemore.

Ian Upton associate director of advanced mobile solutions at CMG added:

This is not just a consumer product. Many UK businesses are currently looking to encourage more of a work/life balance.

To do this employees need to be able to work from home and have access to information on the move. But the trade-off is that employers then face the challenge of data security on mobile devices.

However if wireless device back-up was built into their strategy this would be far less of a headache he added.

Smart devices can be set to automatically send information to a remote storage facility throughout the day and night. If a device drops out of coverage while this process is happening it completes its update as soon as the signal returns.

The technology backs up non- file-based data such as internet settings and users and personalised set-ups such as contact telephone numbers and ringtones.

The technology is targeted at packet-based networks (GPRS or 2.5G and 3G).