BT seeks £100m in savings by merging Global and Enterprise units

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The UK incumbent operator said that the merger to create a single B2B unit called BT Business would deliver various synergies and scaling opportunities

This week, BT has announced that it will consolidate its Enterprise and Global business units into a single unit, BT Business.

The move comes as the latest step in a wider rebrand for BT, first announced back in April, which centres around EE becoming the primary company brand for consumers, and BT for business customers.

BT says the consolidation of the two units will not only simplify their operations, but will generate at least £100 million in savings through 2025 through economies of scale and various synergies.

Combined, BT Global and BT Enterprise currently generate revenues of around £8.5 billion a year, with an EBITDA of £2 billion.

“By combining the two units, BT Business will bring the Group’s combined assets, products, capabilities and brand to the service of all of our 1.2m business customers who will benefit from faster innovation and delivery. Bas is an excellent leader and I’m confident he will build on the plans already underway and drive the combined business back to growth,” explained BT CEO Philip Jansen.

The new unit will be led by Bas Burger, current CEO of BT’s Global unit.

Meanwhile, Rob Shuter, the existing CEO of BT Enterprise, will be leaving the company in the coming months after helping oversee the integration process.

BT Business will officially begin reporting as a single unit from April next year.

Want to learn all of the latest news and strategy from the UK telecoms industry? Join the ecosystem in discussion around some of the sector’s largest challenges at the upcoming Connected North conference

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UK ISP TalkTalk Business Partners with AltNet Freedom Fibre

Broadband ISP TalkTalk Business (TTB) has announced that they’ve formed a “strategic partnership” with alternative network provider Freedom Fibre, which is currently rolling out a new wholesale Fibre-to-the-Premises (FTTP) and Ethernet network across parts of Cheshire, Greater Manchester, Shropshire and North Wales. At present Freedom Fibre is already being supported by TalkTalk, which holds a […]

BT Group to Combine Global and Enterprise Units into BT Business

As expected, telecoms giant BT has today confirmed the next phase of their huge re-branding exercise, which in this case will see them combining their Global and Enterprise units into a single business-to-business unit, called BT Business – led by Bas Burger, the current CEO of BT’s Global unit. Just to recap. Back in April […]

Italian govt pushing TIM to place Sparkle under Rome’s control

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Sources suggest Italy’s new government wants control of TIM’s wholesale submarine cable network business, considering it a strategic national asset

Back in October, Giorgia Meloni took over as Italian Prime Minister, a move that had major implications for beleaguered incumbent operator TIM.

For over two years now, the Italian government has been pressuring the operator to merge its fixed network assets with those of its rival Open Fiber, aiming to create a single national network.

All of this was taking place against a backdrop of TIM’s relatively poor performance in a competitive market, resulting in a change of leadership at the start of the year.

The Meloni administration, however, has been far more forthright in their support of a single network plan, so long as the government, via investor state lender Cassa Depositi e Prestiti (CDP), could secure control

Today, according to a report from Reuters, the government is in fact considering going one step further, with sources suggesting that the government is now seeking control of TIM’s submarine cable unit, Sparkle.

Sparkle owns and operates various submarine cable systems in the Mediterranean and across the Atlantic, its networks spanning over half a million kilometres.

According to the report, the government is seeking control of Sparkle due to the sensitivity of data it carries over these networks, with the networks being considered a major strategic asset for the nation.

In total, Sparkle could be worth around €1 billion.

It is worth noting that the submarine cable unit is not the only one of TIM’s assets that could be on the chopping block.

Earlier this week, TIM CEO Pietro Labriola said at an industry conference that the company “cannot solve Telecom Italia’s debt issue organically”, saying that they needed to “sell assets”. At the same time, the government announced that it had initiated talks with TIM’s largest investors, CDP and Vivendi, to explore “market-friendly options” for the operator.

How would the sale of Sparkle to the Italian government reshape submarine cable network dynamics in the Mediterranean? Join the experts in discussion at the upcoming Submarine Networks EMEA conference early next year

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“Indispensable”: Spain again calls for Big Tech to share network costs

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Spain’s Deputy Prime Minister Nadia Calviño is once again calling for European regulators to introduce legislation forcing major tech firms to help subsidise network

The ‘fair share’ debate continues to rage on across Europe, with this week seemingly the Spanish government’s turn to speak on the controversial topic.

At a meeting with the Secretary General of the OECD (Organisation for Economic Co-operation and Development) Mathias Corman yesterday, Spain’s Deputy Prime Minister Nadia Calviño said that having tech giants subsidise telco networks would be “indispensable”.

“If we want to continue making the necessary investments in technological infrastructure, we need everyone who uses and benefits from them to contribute to financing that investment,” said Calviño, who is also Spain’s Minister of Economic Affairs and Digital Transformation; i.e., head of the nation’s telecommunications policymaking.

The debate as to whether major tech companies, like Amazon and Google, should help pay for telecoms networks has been around for many years, with network operators complaining that these players were growing rich off the back of the telcos’ network infrastructure investments.

But while this may be true to a certain degree, regulators have been reluctant to force these companies to help subsidise network costs. The tech companies argue that the network operators are already being paid for the use of their networks by subscribers, and to implement some form of targeted tax would be to see the operators paid twice for the same service.

Earlier this year, however, a report from the European Telecommunications Network Operators’ Association (ETNO) helped to reignite the debate, showing that top six tech companies generated over 55% of all telecom networks’ traffic globally.

Since then, the European Commission has said it will investigate the concept of a ‘fair share’ tax, launching an official consultation back in September.

As such, the recent comments from Calviño should come as little surprise. Alongside France and Italy, Spain has been one of the biggest European advocates for introducing some form of tax, with the trio making their position known via a joint paper back in August.

Other European nations, however, are far less enthusiastic about such a tax, noting its unclear long-term implications, particularly for European net neutrality, as well as difficulties in implementation.

Back in July, seven countries, including Germany and the Netherlands, sent a letter to the European Commission urging caution.

It is also worth noting that, while the majority of this debate seems to be taking place in the European theatre, similar discussions are taking place all over the world. In India, for example, the Cellular Operators Association of India (COAI) has recently called on big tech companies to pay a “usage charge” for the telecoms infrastructure they benefit from.

Want to keep up to date with all of the latest international telecoms news? Sign up for Total Telecom’s daily newsletter

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More UK ISPs Join FullFibre Limited’s New Broadband Network

Network operator FullFibre Limited, which is building a new gigabit-capable Fibre-to-the-Premises (FTTP) broadband network across various parts of England, has today announced that two more ISPs have joined their wholesale network – Link Broadband and OctaPlus. The operator, which deploys its network as a wholesale platform via Fibre Heroes for other ISPs to harness (i.e. […]

O2 UK Offers 6 Months Free Amazon Prime on Mobile Plans

Mobile operator O2 (VMO2) have begun offering eligible Pay Monthly device, SIM-only plan or Volt bundle customers the ability to get 6 months of free Amazon Prime, saving over £50 (usually costs £8.99 per month). Existing customers can also add a Prime subscription to their account and enjoy a £2 a month discount on their […]

The Asia Communication Awards Winners 2022

Launched in 2011, the Asia Communication Awards (ACAs) recognises the region’s leading communication service providers and telecom operators as well as OEMs, suppliers, and other service providers based within the region or offering products and solutions specifically targeting the region.

For 2022, Total Telecom is delighted to be able to bring back the ACA with a totally refreshed line-up of awards categories, a carefully selected panel of expert judges, and an exciting new virtual format to recognise the finalists and winners for this year’s awards.

You can watch the Awards Ceremony itself here

ACA Winners 2022

5G Deployment Award: KT – Ubiquitous 5G

AI Innovation Award: CITIC Telecom CPC – Cognitive Object Recognition (“COR”) Technology

Best Enterprise Business Service: Singtel – Software-defined Network

Best Payments Initiative: PROGRESIF CARE+

Best SME Service (Operator): Globe Business

Cloud Technology Initiative: Bridge Alliance – Bridge Alliance Communications Platform-as-a-Service (CPaaS) solution with Globe Telecom, Singtel, and Telkomsel

Crisis Response Award: Globe Telecom and Amdocs

Cyber Security Award: CITIC Telecom CPC – AI Visual Security

Digital Transformation Project of the Year: Huawei Technologies – Mobile VPN Solution

IoT in Action: Viettel – InnoWay platform

Network Transformation Initiative: Rakuten Symphony – Symworld

Operator of the Year: KT DIGICO

OSS / BSS Project of the Year: Tata Play Binge powered by Comviva

Satellite Connectivity Initiative: Singtel Satellite iSHIP

Smart Places Project of the Year: Chunghwa Telecom – 5G Intelligent Ports

The Customer Experience Award: Indosat Ooredoo Hutchison

The Social Contribution Award: SK telecom & TUAT – Sullivan Plus X NUGU

Wholesale Operator of the Year: Telin

CEO of the Year: Alfredo S. Panlilio, CEO of PLDT & Smart Communications

Total Telecom would like to thank the extensive judging panel for their expertise and support in judging the many entries this year. We would also like to extend huge congratulations to all of our winners this year and look forward to seeing you all again next year.

For more information about the Asia Communication Awards and to enter in 2023, contact Rob Chambers at rob.chambers@totaltele.com

EE UK Extends 4G Mobile Coverage to Over 500 Rural Areas

Broadband and mobile provider EE (BT) has announced that, over the past year, they’ve “built or upgraded” over 500 4G (mobile broadband) sites across the UK as part of their commitment under the £1bn Shared Rural Network (SRN) project, which is also supported by O2, Vodafone and Three UK. The SRN is an industry-led scheme […]

Ofcom – Gigabit Broadband Covers 70% of UK as 5G Hits 67-77%

Ofcom has published their Connection Nations 2022 UK digital infrastructure report, which reveals that “gigabit-capable” broadband ISP networks cover 70% of the UK (21 million premises), which is up from 47%  last year, and outdoor 5G mobile cover from at least one operator is available to 67-77% of premises (up from 42-57%). The report provides […]