MONTVALE, N.J.-Geotek Communications Inc. and RWE Telliance AG announced they have executed a memorandum of understanding to merge their German public access mobile radio networks, RegioNet and Terrafon Bundelfunk.
The combined network will provide service to nearly 30,000 business subscribers in 12 of Germany’s 14 most important economic regions, said Geotek. Under the terms of the MOU, Geotek and RWE Telliance each will hold 50 percent of the merged entity. The companies plan to build a digital network that will offer an integrated service of telephony and dispatch, messaging and mobile data applications by the second half of 1997, said Geotek.
RWE Telliance is a wholly owned subsidiary of RWE, a $43 billion German conglomerate. In addition to interests in public access mobile radio, the company operates in different mobile telecommunications market segments and telecommunications consultancies and intends to compete with Deutsche Telekom using Germany’s second largest fiber optic network, said Geotek.
