Sir Chris Bland attacks 3G bidding by BT

date: April 29, 2001

The newly appointed Chairman of British Telecom (BT) Sir Chris Bland attacks its own company for its bid at a third generation mobile license in the UK.

The comment comes as BT is holding emergency talks with the Government and the EU to find solutions on how to ease the financial problems in developing 3G wireless networks and the debt mountain caused by it.

BT yields out over £4 billion in license fee last October for completing with Vodafone, Orange, One2One and Hutchison 3G for the rights to a license.

Questioned if BT should have bid for it, Sir Chris Bland answered "Certainly not". He believes in the next few months there will be an existing 3G license holder that will sell the rights at a lower price as financial and logistical concern starts to hit them.

A telecom analysis believes BT should have pull out of the 3G wireless race and focus on landlines. BT was never set-up as a mobile operator "since they in it now- hard to see them pull out with the investment they already putted in."

There will certainly be job cuts as 3G development starts to take a big chunk out of BT's budget and its increasingly bad debt mountain.

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