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BSkyB discussing UK mobile project
28 May 2012
BSkyB said to be in discussions with Everything Everywhere to launch UK mobile services
Satellite TV and broadband operator British Sky Broadcasting group is reported to be in discussions with Everything Everywhere, the owner of Orange and T-Mobile networks in the UK, to start a mobile operation, reported the Sunday Times, citing banking sources.
The report said that the firm, which is 39% owned by Rupert Murdoch’s News Corporation, which owns the Sunday Times, is planning to bid for some of the spectrum that Everything Everywhere has put up for sale.
Everything Everywhere — the France Telecom-Orange/Deutsche Telekom joint venture for their UK businesses — has hired Morgan Stanley for the spectrum sale.
The report suggested that BSkyB, which already runs broadband services in the UK, may use the spectrum to add a mobile offer to its packages.
BSkyB may need to spend £3-£4 billion for a mobile phone network in the UK, the newspaper said, without citing sources.
One banker told the Sunday Times: “It costs nothing to take a look but building a network would not make sense. For one thing, investors would not like it.”
Both BSkyB and Morgan Stanley declined to comment to the Sunday Times on the development. GTB
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