DUBLIN, Ireland-A familiar name is back on the consumer mobile market in the United Kingdom with British Telecommunications’ announcement that it is going to establish a mobile virtual network operator (MVNO) with former subsidiary O2.
The move comes less than a year after BT disposed of Cellnet (now O2), but the business model it plans to implement should make it a low-risk venture. It will rent airtime rather than building a new network, and the service is being marketed through the existing BT Web site.
The new service, Mobile Sense, is a consumer version of the corporate package BT offers, again in conjunction with O2. It will allow users to create their own packages depending on the number of calls they make and the number of text messages they send and pay their bills through the Web site. This should significantly reduce the administrative costs of the venture.
“Mobile Sense is not a mass-market offering, but it does represent a practical and low-risk first step into the consumer mobile space,” said Pierre Danon, chief executive officer (CEO) of BT Retail. “With this product, we have a unique proposition that gives our online customers complete control over what they are charged, even allowing them to change their pricing packages every month if necessary.”
