Polish operators in network-sharing deal - Mobile World Live

Polish operators in network-sharing deal

20 DEC 2010

Orange Poland, the country’s largest mobile operator, has signed a letter of intent to share network infrastructure and radio frequencies with Polska Telefonia Cyfrowa (PTC), the country’s third largest operator in which Deutsche Telekom last week took 100 percent control. The new network-sharing deal follows another recent one signed by Orange and P4, the country’s fourth-largest operator. This earlier agreement covered the joint deployment of a LTE network. However, the new Orange-PTC deal does not specify which network technologies are covered. A release by PTC-owner Deutsche Telekom says only the deal’s intention is “to establish a joint venture entity, responsible for operating both operators’ radio access networks (RANs).”

Deutsche Telekom also says in its release that the network-sharing deal will deliver significant savings for both companies worth “hundreds of millions of zloty“ over the next five years. The next step for Orange and PTC is an application to the Polish Competition Office for permission to set up their network-sharing joint venture. The plan is for both companies to have a 50 percent stake in the new venture which would build operate and maintain their networks. No co-operation is planned beyond the technical elements. The two companies will continue to compete as previously in the retail market. The earlier link-up between Orange and P4 was motivated by the country’s regulator’s decision to propose selling-off just two blocks of spectrum for LTE.

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