O2 and Orange might join the battle

Jul 2, 2009 14:33 GMT  ·  By

According to the latest news on the Web, Vodafone is not the only carrier that bids for T-Mobile UK. It seems that O2 is interested in a possible acquisition too, and Orange might also drop an eye on the wireless operator. Although nothing has been officially announced until now, in the near future we might hear that a deal has been closed.

The most probable bidder for the struggled company seems to be Vodafone, and most of the rumors cycle around its negotiations with Deutsche Telekom, T-Mobile's parent company. At the same time, it seems that O2, the largest mobile carrier in the UK, might also consider making a move in this direction, though there are no exact details on it.

As for Orange, the company stated not too long ago that it was unaware of any negotiations for T-Mobile's acquisition, yet recent reports point towards advanced negotiations for the forming of a joint-venture with T-Mobile UK, which might allow Deutsche Telekom to retain some interest in the UK market.

As many of you might already know, T-Mobile is the fourth-largest mobile operator in the UK, owned by the Deutsche Telekom giant. T-Mobile UK is estimated to be worth around £3.4 billion, although it has paid £4 billion a few years ago for 3G services licensing in the country. The carrier has recently received a new head in the person of former Orange Romania Chief Executive Richard Moat.

It seems that Deutsche Telekom is not rushing to close a deal for T-Mobile's purchase just yet, as Moat is reported to have at his disposal 12 months to get things straight with the carrier's businesses. The competition on the mobile market in the UK seems to be rather tight, as O2 accounts for 27 percent, followed by Vodafone and Orange with 25 and 21 percent respectively.