Vodafone CEO Jeroen Hoencamp has said that he believes content rather than 4G is the real driver for consumers.
In a Vodafone blog Honecamp also explained that Vodafone’s strategy was to build a reliable network for customers rather than focusing purely on achieving the highest speed.
Honecamp’s decision to reveal that he views content to be the key driver comes at a time when the network has been repeatedly linked to content related acquisitions.
The pressure for Vodafone buy in order to strengthen its quad play offering has been building for a while now. The decision by BT to pursue the purchase of EE highlighted once again the need for Vodafone to build its presence as a quad play brand.
Vodafone’s relationship with Sky is another issue that gains significant following Hoencamp’s comments. The two firms have an agreement that allows Vodafone to target Sky customers but there have long been rumours that the companies could become closer than that.
CCS Insight has predicted that in 2015 Sky would be bought by Vodafone and considering the broadcaster’s similar attitude towards content the latest comments from Hoencamp do little to dampen the rumours.
In a blog Hoencamp said: ‘We had to ask: ‘What is it you do or want to do on your device?’ And when we showed people Sky Sports or Spotify, for instance, they loved it. 4G is the enabler: content is the real driver of what people do and care about. Customers shouldn’t worry or care about the latest back end technology – they care about the newest handsets and what they can do on them.’
‘Many customers don’t know what 4G is. Customers don’t care what 4G is. All customers want is consistency, so that wherever they go they have strong signal, so that they can do what they want wherever they are. And you want to know that it’s really a step up from what you’ve seen before. So if you show people 4G as part of a big bundle with unlimited calls and texts, lots of data and content from Sky Sports, Spotify or Now TV Entertainment, then that’s the way to do it.’
What should Vodafone do? Read our analysis of the options open to the operator here.