The takeover of O2 by Telefonica Moviles is set to redefine the balance of power among the international alliances formed by European mobile operators. Telefonica is part of the larger FreeMove alliance and O2 is in the smaller Starmap grouping. After two years of operation, the two alliances have expanded their footprint but their influence is waning. Telefonica Moviles could give the Starmap alliance a boost by joining, but the Spanish operator may also opt to form a new alliance with i-mode providers. More likely, Telefonica Moviles will create its own division to service international business customers, similar to the Sympac business started by KPN.
