11/10/2010 11:58:00 AM
O2 CEO: Spectrum needs investment
The Government must invest more in spectrum if the UK is to remain competitive, O2 UK CEO Ronan Dunne said last week.Investing in future technology could play a part in the UK¹s economic recovery, the O2 chief claimed at a Westminster eForum on building 21st century broadband in the UK.
Dunne said: 'We have to make the case for UK plc and the investment needed. Spectrum needs additional investment.'
Dunne stressed the importance of mobile networks in the UK's broadband infrastructure.
He said: 'An increasing amount of data is carried by the mobile networks. In the last 12 months we have seen an increase from a quarter to a third of people accessing mobile internet.'
The O2 executive argued in favour of further investment from the Coalition Government by emphasising the outlay already made by the networks.
He said: 'The regulator facilitated conditions that have created an incredibly competitive market. Our industry has become a world leader, creating thousands of new jobs through investment. We are currently investing £1m a day and expect that to increase significantly.'
Dunne outlined three impediments - land, cost and planning - that O2 has identified to improve the network.
He said: 'It is important that we as an industry work to bring costs down.
We have an infrastructure arrangement with Vodafone [network share company Cornerstone] and we need to work with owners of rural areas to bring costs down. We need to make the economics of the national infrastructure work.'
Dunne predicted that over the next five years different parts of the current broadband service will come together.
He said: 'Over the next five years the network will transform again. New parts of the network will come together that will be fixed, Wi-Fi, Bluetooth and mobile. It will be ubiquitous digital access.
'There will be no more fixed and mobile distinction it will be a simple, smarter network.'