O2 UK has confirmed plans for a 5G launch in October, while reporting continued solid growth in Q2 results. Organic revenues rose 4.8 percent year-on-year in Q2, and O2 added over 392,000 mobile contract customers in the period. Underlying OIBDA rose 9.2 percent.
O2 reported revenues for the first half of GBP 2.979 billion, up 5.1 percent from a year earlier, and OIBDA increased 6.4 percent to GBP 919 million. The company attributed the growth to the success of its latest tariff plans, higher value handset sales, as well as ongoing growth in the smart meter roll-out and MVNO services.
Contract net additions for the first half were 41,000, or 612,000 including M2M, with the contract customer base now accounting for 67 percent of the total mobile base. Active prepay net additions for the first half were 45,000. O2 remained the UK's biggest mobile operator with 25.4 million retail mobile lines at the end of the period, up from 25.1 million in Q1, as well as nearly 7.9 million wholesale lines.
5G launch to start in busy areas
O2 confirmed it will launch its 5G network in October this year, starting in Belfast, Cardiff, Edinburgh, London, Slough and Leeds. Following launch, O2’s roll-out will deliver a 5G presence in 20 towns and cities in 2019 and, by summer 2020, reach 50 towns and cities.
The operator said the 5G roll-out will focus initially on areas with high data demand, such as busy train stations (including from launch London Waterloo, Kings Cross, Slough, Leeds and Belfast), key business areas (including from launch the City of London) and entertainment and sports venues (including from launch The O2, Emirates Stadium and Twickenham Stadium).
Sales of 5G smartphones will start on 08 August already with the Samsung Galaxy S10 5G, followed by the Xiaomi Mix 3 5G later in August. Further devices will be rolled out ready for launch. Consumer and business customers will be able to select a 5G tariff when they wish, with further details to be announced closer to launch.
O2 Business to start 01 August
O2 also confirmed the launch of its new division O2 Business from 01 August, consolidating its entreprise and wholesale activities. O2 Business will bring together all product development (including IOT, data and 5G) alongside sales and commercial teams.
The new division will focus on building business applications for UK businesses over 5G. O2 said it's already working with Network Rail and Northumbrian Water Group to develop 5G business cases.
