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News Analysis: BT Bets on Mobile Convergence

Marketing, June 9, 2004 | Article details

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News Analysis: BT Bets on Mobile Convergence


The telecoms giant is banking on its integrated phone service proving a hit with customers. Jane Simms reports

BT's decision to join forces with Vodafone to offer fully converged fixed and mobile services raised a few eyebrows last month (Marketing, May 19).

To many observers, the two erstwhile competitors make uneasy bedfellows.

Others point out that BT's efforts to re-enter the mobile market since it demerged Cellnet (now mmO2) two years ago have met with mixed success. BT Mobile has only 250,000 customers, and fewer than 50,000 consumers have signed up to the BT Mobile Home plan launched less than six months ago.

Defying the critics, Pierre Danon, chief executive of BT Retail, hailed the venture as a revolutionary step toward integrating …

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