German O2 to end roaming deal with Telekom -paper

21 November 2009 @ 04:11 pm EDT

German mobile operator O2 plans to end its roaming agreement with Deutsche Telekom unit T-mobile at year end, O2's German head told a German newspaper.

A worker makes final touches on the logo of British mobile phone company O2 in preparation for the CeBIT computer fair in the northern German town of Hanover in this file photo from March 6, 2006. A rival of British mobile phone operator O2 is free to use pictures of bubbles in advertisements -- as O2 does -- unless doing so confuses consumers, the European Union's top court said on Thursday.

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"We now have a very strong network and will terminate the national roaming agreement with Deutsche Telekom at the end of the year," Rene Schuster, head of Telefonica's German O2 unit, told weekly Euro am Sonntag newspaper.

Analysts estimate the savings to O2 at around 150-170 million euros ($223-253 million), the paper said.

Roaming occurs when a mobile phone owner uses a service network different to the owner's home network.

German O2 to end roaming deal with Telekom -paper

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