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KPN and mm02 will not co-operate on rollout

February 25, 2003

A spokesman from Dutch KPN Mobile, the largest Dutch telecommunications company, said on Tuesday it and UK mm02 had scrapped tentative plans to join forces in building a WCDMA 3G network in the Netherlands.

KPN Mobile has purchased UMTS licenses in the Netherlands, Belgium and Germanyand plan to spend EUR1.4 billion on rolling out WCDMA 3G networks, 80% will go towards setting up the network in Germany, the spokesman said.

The spokesman added the two phone operators had previously signed a memorandum of understanding to explore cooperating on the rollout of 3G mobile networks in the Netherlands, but had since decided not to go ahead.

"We signed a memorandum of understanding to explore the possibility for combined activity for 3G in the Netherlands. We came to the conclusion it wouldn't bring much synergy so we stopped the operation," the spokesman said.

Mm02 is active in the Netherlands through its unit 02.

KPN was not seeking an alternative partner and expected to go it alone in building the network, he said, adding that the Dutch company still expected to begin rolling out UMTS services in Germany by the end of 2003, as previously announced.

 


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