O2 to Compete with BT in Fixed Line Market


O2 will soon pit its might against British Telecom its former parent company, in the fixed line phone services market. The provider which is, today, one of UK’s largest mobile operators, was originally a part of BT, but was spun off in 2001. Subsequently, it was bought by Telefonica, a Spanish firm, in 2005.

A recent announcement from O2 reveals that it will soon enter the fixed line phone market. Although it is not expected to emerge as a huge competitor to BT, the company will use the fixed line phone to lure more customers into its fold. Its focus will be to keep pace with other providers who already have a bagful of products to offer to their customers. Providers such as Orange and Vodafone who are also established players in the home broadband arena, already offer fixed line phone services to their customers.

The move is being looked on as an expansion of operations for O2. The company already has a range of services such as O2 mobile broadband, home broadband and mobile voice calls. Fixed line will be a logical step forward for the company. To begin with, the fixed line phone service will be available for existing broadband and mobile customers as part of a package, where discounts will also be given for those taking up all three.

According to O2 sources, the company’s latest offering will bridge the gap in quality fixed line services which are not available right now. It has announced that the new offering will be competitively priced.


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