>

T-Mobile and Orange Joint Venture pressures Vodafone and Telefonica

With the announced partnership between T-Mobile UK and Orange UK in the United Kingdom, Vodafone and Telefonica are now under pressure to strengthen their positions within the United Kingdom reports ftalphaville.

The merger, if approved by regulators, between Orange UK and T-Mobile UK will make the new venture Britain’s largest mobile phone operator, but analysts have been voicing concerns over potential clashes between Deutshce Telekom and France Telecom.

However both companies have stated they are committed to their 50/50 joint venture for a term of 3 years after which either company will have to option to buy the other out.