Mobile phone network providers in Europe need to merge

Apr 08, 2010 No Comments by

Europe is one of the largest markets of the world for mobile phones. The number of mobile phone users in Europe is huge. No trade barriers and a single Euro currency in the whole Europe help the cell phone industry a lot.

There is a tough competition in the mobile phone industry of Europe. Every mobile network wants to take a larger market share. But with the growing number of network provides and the presence of international players in the mobile phone industry it has become difficult. Almost all the cell phone network providers are trying to reduce the expenses and boost their sales. To come up with best coverage, fast internet services and low costs it is a need for the European mobile phone network providers to get merged and share their network.

The mobile phone network providers have understood the importance of sharing their network with other network providers and have taken steps to get merged. 3 mobiles got merged with Deutsche Telekom. Vodafone signed a network merge contract with Telefonica and both will now built 650 more sites to make the network connectivity much more effective. Vodafone wants to get merged with 3 mobiles as well and there are positive signs from 3 mobiles in this concern but the merger contracts with the other two companies pull them from getting merged. Therefore an official of 3 mobile said that all the network providers in Europe have to merge together openly so that all of them could work with more efficiency, reduce their expenses and provide customers with the most satisfactory services. It is a need for the European cell phone market to come up with some great mergers.

Generally if two companies merge in a project they are not allowed to merge with any other similar company. In such situations companies merge some of their components so that the other merging companies do not have any objection. Mobile phone industry is one of the fastest growing industries in Europe and it would be interesting to see further mergers of network operators.

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