Ofcom threatens O2 over 3G roll-out delays
O2 has fallen behind with its 3G roll-out, and faces action from Ofcom if it fails to provide the service it promised. According to UK magazine telecoms, the mobile network operator was to provide UMTS services to at least 80 per cent of the UK population by the end of last year, but only reached a coverage of just under 76 per cent. Regulator Ofcom reportedly already cautioned the network operator.
The article says should O2 fail to provide the agreed coverage by the end of June, Ofcom wants to cut its licence by four months. This would mean that O2 will already have to close its networks in September 2021 instead of the end of that year and is equivalent to a penalty of around £40 million. Winning the licence cost O2 around £4 billion in 2000.