Re: Biggest 3G Network
3 will remain the UK's largest 3G network when MBNL and Orange 3G networks merge in a few years,why? Because 3 has a larger customer base for 3G customers, Orange may have 15 to 16 Million customers, but a majority of these are using 2G only phones, when T-Mobile's 2G network is eventually merged with Orange's 2G network, the newly merged company will hold the largest 2G mobile customer base.
The problem with this, the newly merged company will have to invest heavily if it is to encourage more users to move to 3G enabled phones, this involves acquiring contracts with manufacturers such as Nokia,Apple,Sony Ericcson,Motorola and LG. INQ and ZTE are most likely to remain exclusive to 3. It also involves more advertising and more call centre staff to bother existing Pay Monthly customers who are near the end of there contracts. It also involves setting up deals with outsourced retailers such as Carphone Warehouse,Phones4U,Tesco,Morrisons,Alworths,Asda,F onehouse and the smaller independent communication retail stores.
3 like to keep things in-house, they have there own retail stores and also sell products in Savers Stores which is all part of Hutchison Whampoa, Superdrug is also part of the same group which is why you may have saw 3 products and services being sold instore. 3 do not sell Pay As You Go services in retailers such as Carphone Warehouse because it is costly and is cutting back on the use of such retailers.
By T-Mobile and Orange merging, this gives 3 a much greater chance of competing especially on the high street, when the networks finally merge including the brands, there will be fewer phone shops on the high street most particularly towns and high streets which have both an Orange shop,T-Mobile store and Fonehouse selling T-Mobile products, it would not make sense to have three stores selling the same thing on one street. It would be like having three Mcdonalds on street.
Virgin Media are also similar, they like to keep things inhouse to, by agressive advertising on there wholly owned TV channels,direct mailing to existing customers and using there new Virgin Media stores, one store has recently opened on Oxford Street.