Deutsche Telekom’s Polish wireless network operator and operator of the T-Mobile network Polska Telefonia Cyfrowa (PTC) and Orange network operator PTK Centertel have entered into a partnership deal to share their radio access networks (RAN).
Both the partners have formed a joint-company NetWorkS!, in which they will hold an equal 50% of shares, and transfer their employees responsible for radio networks planning, building and maintenance.
The RAN sharing agreement is limited to technical aspects only and is for a period of 15 years, with an option to extend.
The deal covers management, planning, support, development and maintenance of the joint networks through the newly-formed company.
The joint deal will also help the operators to provide customers with benefits, such as improved network coverage across the country as well as access to the latest technologies, thus supporting the provision of new services, including broadband access to mobile Internet.
The companies aim to invest funds for the faster expansion of their network infrastructure, and develop latest mobile networks in Poland.
The partnership is expected to help reduce operating costs and investment expenditures; Polska Telefonia notes upfront investment in the first three years would cut about 29% of the total RAN cost on a longer-term basis, in line with the reduction in total number of sites.
The deal will allow both operators to ensure high network quality, including short-term acceleration of the modernisation of the entire RAN network to latest technology, compatible and supporting latest standards.
The operators also intend to eliminate duplicating base stations in close proximity, and share the remaining stations across the country, allowing the companies to optimise network maintenance costs and allow further technology investments.
Polska Telefonia notes the implementation of the new network offerings will continue until 2014, with the first viable results planned in selected regions of the country by the first half of 2012.
Both operators said they will continue to compete in the wholesale and retail market of telecommunications services under their existing brands.
