Mobile phone giant finds going tough

THE company behind merged mobile phone giants Orange and T-Mobile yesterday reported a slowdown in the number of customers signing up for contracts.
By The Newsroom
Published 29th Apr 2011, 07:00 BST

Everything Everywhere, which was formed last year, reported the net addition of 160,000 contracts in the first quarter of 2011, down from 222,000 in the previous year and compared with 300,000 the quarter before.

Increasing the number of contracts is a key goal for the company because they tend to be more profitable and produce a more reliable income than pay-as-you-go deals.

Hide Ad
Hide Ad

Some 45 per cent of its 27.7 million customers are now on contracts, up from 41 per cent a year ago, it said.

But total customer numbers declined 0.6 per cent after a six per cent drop in the number of pre-paid deals.

There was also a 10.9 per cent decline in households subscribing to its broadband package.

Total revenues were down 1.7 per cent after also being hit by lower sales of phones and other equipment amid challenging economic conditions.