I'm surprised O2 say they are at 90% 3G coverage, either thats slightly optimistic or the 10% without 3G coverage is a 50 mile radius around my house :P
It's clear O2 are struggling a bit here, especially with the business decisions they have been making recently, but they're not doing as bad as some people think. They still have time to turn everything around. The next couple of years will be intersting to see what o2 do.
If they use their status checker estimates then it would explain their optimism, I have 1 bar of 2g they say that is excellent 3G coverage and excellent for mobile broadband, as is where I used to live with its 2 bars of 2g
Thanks for the graph. No doubt the upper management at O2 have a graph similar to this and will be staring at it wondering how to fix things before its too late.:eek:
Other things to factor in are O2 still have to bid for a 4G Licence. Not going to be cheap. Invest (a word O2 hate) in a 4G network. Partly offset by Vodafone's network sharing arrangement also improve diabolical 3G coverage.
They will also have to retain or increase customer numbers and cut costs of subscriber acquisition costs (smartphones that contract customers want aren't cheap).
To increase revenue they have already increase outside EU roaming charges.
They will be ale to use 2100Mhz (presently 3G only) for 4G from summer 2014. So savings to be made there.
What next?
No doubt, these are the issues they now need to address.
6.8% revenue drop
ARPU down 9.2% year-on-year
Voice traffic down 7% (not sufficiently replaced by data revenue)
Operating expenses up up 0.5%
Operating income down 21.4% in the nine months to September
Voice traffic is down, and they need to get into the data market in a bigger way as that's where the future is. They can't do that until they have a network capable of managing it, so they have to wait for LTE next year and the "new" Vodafone / O2 network. At that point they'll be able to be start generating more revenue off the back of data.
Op-Ex will continue to rise initially with the O2 / VF network and the LTE licenses and costs, but will lower in the long run.
Other costs can be cut through, they'll be looking at cutting costs in all sorts of areas. Further franchising, further offshore if the 1st one goes ok. Telefonica says they believe there are a lot of areas in which they can still cut costs, they said this on the financial presentation online.
They now say they have more customers on the higher profit tariffs so they are expecting revenues to increase off the back of that.
I suspect they will turn things around, but if nothing changes and they carry on the current trend they'll be losing money by mid 2014, and nobody is in business to lose money, so expect some changes ahead to get the financials back in shape.
No doubt, these are the issues they now need to address.
6.8% revenue drop
ARPU down 9.2% year-on-year
Voice traffic down 7% (not sufficiently replaced by data revenue)
Operating expenses up up 0.5%
Operating income down 21.4% in the nine months to September
Voice traffic is down, and they need to get into the data market in a bigger way as that's where the future is. They can't do that until they have a network capable of managing it, so they have to wait for LTE next year and the "new" Vodafone / O2 network. At that point they'll be able to be start generating more revenue off the back of data.
Op-Ex will continue to rise initially with the O2 / VF network and the LTE licenses and costs, but will lower in the long run.
Other costs can be cut through, they'll be looking at cutting costs in all sorts of areas. Further franchising, further offshore if the 1st one goes ok. Telefonica says they believe there are a lot of areas in which they can still cut costs, they said this on the financial presentation online.
They now say they have more customers on the higher profit tariffs so they are expecting revenues to increase off the back of that.
I suspect they will turn things around, but if nothing changes and they carry on the current trend they'll be losing money by mid 2014, and nobody is in business to lose money, so expect some changes ahead to get the financials back in shape.
They need to think of a better plan than turning their back on the 2000 or so uk staff that made them as profitable as they have been
They need to think of a better plan than turning their back on the 2000 or so uk staff that made them as profitable as they have been
Do they?
They seem to be doing well attracting customers, satisfying those they have and selling mobile services at premium prices.
What about other networks that have never bothered to support UK customers from the UK? Their customer feedback re Ofcom surveys reveals how poorly UK customers regard them.
They seem to be doing well attracting customers, satisfying those they have and selling mobile services at premium prices.
What about other networks that have never bothered to support UK customers from the UK? Their customer feedback re Ofcom surveys reveals how poorly UK customers regard them.
I think that was the point andys corner was making.
They seem to be doing well attracting customers, satisfying those they have and selling mobile services at premium prices.
What about other networks that have never bothered to support UK customers from the UK? Their customer feedback re Ofcom surveys reveals how poorly UK customers regard them.
Yet O2's revenues are dropping like a stone and Three's revenues are steady or growing.....
Yet O2's revenues are dropping like a stone and Three's revenues are steady or growing.....
And were attracting more new customers, although we'll have to wait for the next set of results to see if that's still the case.
Telefonica said on the web conference / financial report yesterday that there was plenty of scope still to cut costs and they are looking into lots of areas that they could cut costs in.
I guess we'll have to wait and see what those are.
They seem to be doing well attracting customers, satisfying those they have and selling mobile services at premium prices.
What about other networks that have never bothered to support UK customers from the UK? Their customer feedback re Ofcom surveys reveals how poorly UK customers regard them.
seem to be doing well satisfying customers?
what by having outage after outage?
premium prices for what ultimately is a crap network, even less than a mile away from Manchester city centre, data is crap, voice calls break up and I can't be heard
good job I have my home broadband, and can still pick up wifi hotspots from my house, because I could never rely on o2 over the last 3 months
Thank god i'm on t-mobile/ee
unlimited data/texts and 2000 mins, unlimited t mobile mins, £21 a month
o2 doesn't even give you anything anywhere near that
90% population is relatively easy to achieve. It's the remaining 8-10% that's the bugger! It's this remaining percentage that gives EE/3 near blanket coverage in a lot of rural areas. No one is arguing that O2 isn't good in areas of high population but a mobile phone should work (smartphone/3G) everywhere.
They seem to be doing well attracting customers, satisfying those they have and selling mobile services at premium prices.
What about other networks that have never bothered to support UK customers from the UK? Their customer feedback re Ofcom surveys reveals how poorly UK customers regard them.
O2 have tried to market themselves as a premium brand, I joined in 2006 and recently cancelled and got a tesco sim only. In my opinion they lag behind in terms of technology/network investment/ availability of packages for high data usage.
When they are good they are very good, when they are bad they are terrible, and too many odd ideas, joggler for example- wtf?
Their main success has been staff that give a hoot, my fiancée was on tmobile when I met her, she got an O2 contract but didn't last full term cos the signal is a constant struggle, the people on the phone were sympathetic but the network engineers were idiots, if it wasn't for wifi I wouldn't be able to type this. Where I live we have an O2/tesco mobile call centre which employs nearly 1000 staff, if that closes our local area will be desecrated.
When I looked for a new contract I looked at which networks had uk only staff and low complaints rates hence I am with tesco.
I also have the slightly unpopular view that foreign outsourcing of call centres should be illegal, then again I have worked in call centres for 7 years (I don't work in the mobile industry)
Yes but not significantly so, they are only very slightly above T-mobile and way below most of the broadband providers despite being in the mobile broadband market, which typically does generate more Ofcom complaints. Of course the offshore call centre does mean that they have more money saved to invest in the 3G network and enables them to do the unlimited deals, they are pitched at the lower end of the market to O2.
They are also the fastest growing UK network and 2nd fastest growing in the whole of Europe.
Yes by a big margin compared with the best performer......and have been for many quarters. Only Orange beat them one quarter due to increased contract charges. They were at their highest level for seven quarters at the date of the last Ofcom report. See link below.
Yes by a big margin compared with the best performer......and have been for many quarters. Only Orange beat them one quarter due to increased contract charges. They were at their highest level for seven quarters at the date of the last Ofcom report. See link below.
Mostly about their offshore call centers. O2s complaints are all about their utter bollocks network, severe lack of 3g coverage and oh, the outages you still keep ignoring!!
Mostly about their offshore call centers. O2s complaints are all about their utter bollocks network, severe lack of 3g coverage and oh, the outages you still keep ignoring!!
I have no recollection reading any breakdown regarding the small number of escalated complants Ofcom receive about the O2 network.
It would be useful to see a link posted to the Ofcom complaints breakdown for the O2 network to support the statement made above.
I have no recollection reading any breakdown regarding the small number of escalated complants Ofcom receive about the O2 network.
It would be useful to see a link posted to the Ofcom complaints breakdown for the O2 network to support the statement made above.
You don't seem to recall a lot do you?
I mean your still ignoring the 2 large outages in the matter of weeks!! Also while we are at it, can you defend why o2 have the WORST out of all the uk networks 3g coverage after nearly a decade of 3G being available in the UK?
I mean your still ignoring the 2 large outages in the matter of weeks!! Also while we are at it, can you defend why o2 have the WORST out of all the uk networks 3g coverage after nearly a decade of 3G being available in the UK?
yep i've noticed that wavejock never seems to address the negatives about o2 being completely shite
He never does comment, for once I'd like him just to admit when something is bad and discuss it, like the 3G coverage or the outages, but even the obvious issues they the CEO admits are in issue are argued against or won't be commented on.
O2's CEO said he was embarrassed by the network failures and worried about the fallout, but Wavejock refuses to even comment on these. He even ignored the mobile forum for the whole week of the most recent outage.
I mean your still ignoring the 2 large outages in the matter of weeks!! Also while we are at it, can you defend why o2 have the WORST out of all the uk networks 3g coverage after nearly a decade of 3G being available in the UK?
No link to information about O2's Ofcom escalated complaints breakdown ........ just more opinion?
Future complaints leauge tables MAY address the issues of recent outages but that remains to be seen when they are published. Some companies can take a big hit, like News International did with phone hacking recently yet it may not have a direct affect on their sales. BSkyB for example continues to grow despite its connection to News Corp. So nothing is certain!
The "WORST out of all the uk networks 3g coverage', yet with the lowest number of complaints and the highest rated customer satisfaction. Perhaps O2 have coverage where it matters most as their customers seem to be content, loyal and are not paying the cheapest prices for their services.
No link to information about O2's Ofcom escalated complaints breakdown ........ just more opinion?
Future complaints leauge tables MAY address the issues of recent outages but that remains to be seen when they are published. Some companies can take a big hit, like News International did with phone hacking recently yet it may not have a direct affect on their sales. BSkyB for example continues to grow despite its connection to News Corp. So nothing is certain!
The "WORST out of all the uk networks 3g coverage', yet with the lowest number of complaints and the highest rated customer satisfaction. Perhaps O2 have coverage where it matters most as their customers seem to be content, loyal and are not paying the cheapest prices for their services.
Glossing over it again with some random rubbish about BSkyB....lol
Yes, the WORST 3G coverage and the WORST reliability of any UK network. Come on, defend it please.
Complaints numbers will not have come in yet over the last 2 outages so i suggest you curb that rubbish until they are released.
In light of these average O2 figures, and Telefonica's poor figures in general, is there any likelihood that O2 will miss out on 4G spectrum? I mean, the other three networks seem to be in much healthier positions.
In light of these average O2 figures, and Telefonica's poor figures in general, is there any likelihood that O2 will miss out on 4G spectrum? I mean, the other three networks seem to be in much healthier positions.
O2, if they ever do bring out 4G will be lagging miles behind every other operator even a decade after it first came out like its pitiful 3G network.
Sadly i'm stuck on O2 till January, but come that, i'm off! Absolutely useless they are.
In light of these average O2 figures, and Telefonica's poor figures in general, is there any likelihood that O2 will miss out on 4G spectrum? I mean, the other three networks seem to be in much healthier positions.
Telefonica made a profit in the last results after the loss last time, they also paid off a lot of dept as a result of selling off businesses like China Unicom, Attento, O2 Germany, a travel agency and likely some latin American businesses shortly.
They have made a commitment to reduce borrowing by raising 7 billion to 8 billion euros a year through to 2015.
Even the private fleet of company jets isn't safe! as the company's net debt is bigger than its market value.
It has more jets than any other publicly traded company in Spain, including one bought from the Salton of Brunei. Staff are told now to use video conferencing and the company has taken away most of the colour photocopiers and the staff coffee! They are the lucky ones though as 6,500 staff have been made redundant.
However O2 will still have to find the money for the 4G auction and the necessary network costs, otherwise they'll be out of the game in the UK. I can't see them not investing in 4G.
Telefonica made a profit in the last results after the loss last time, they also paid off a lot of dept as a result of selling off businesses like China Unicom, Attento, O2 Germany, a travel agency and likely some latin American businesses shortly.
They have made a commitment to reduce borrowing by raising 7 billion to 8 billion euros a year through to 2015.
Even the private fleet of company jets isn't safe! as the company's net debt is bigger than its market value.
It has more jets than any other publicly traded company in Spain, including one bought from the Salton of Brunei. Staff are told now to use video conferencing and the company has taken away most of the colour photocopiers and the staff coffee! They are the lucky ones though as 6,500 staff have been made redundant.
However O2 will still have to find the money for the 4G auction and the necessary network costs, otherwise they'll be out of the game in the UK. I can't see them not investing in 4G.
Despite excellent customer satisfaction, growing numbers of users, millions upgraded to smartphones on the network we have the same old, same old O2 hate brigade desperate to bash the company at every opportunity possible. Some just don't get it! The network has been a huge success in the UK and delivers mobile communications to more than 25.5 million customers, more than any other single network has ever done outwith the merged EE entity.
With higher than average prices it still attracts and satisfies it's customers. That must really rile some folks who can't seem to understand that if they were anything like what they stated they would have been in decline for years as there are plenty of alternatives in the marketplace.
The same O2 bashers will continue to troll out the same tired claims, perhaps in the hope that if you repeat something often enough some might believe it!
Despite the 'opinions' of a few well known knockers on DS, O2 are still the success of the mobile industry in the UK by a mile!
Comments
No doubt, these are the issues they now need to address.
6.8% revenue drop
ARPU down 9.2% year-on-year
Voice traffic down 7% (not sufficiently replaced by data revenue)
Operating expenses up up 0.5%
Operating income down 21.4% in the nine months to September
Voice traffic is down, and they need to get into the data market in a bigger way as that's where the future is. They can't do that until they have a network capable of managing it, so they have to wait for LTE next year and the "new" Vodafone / O2 network. At that point they'll be able to be start generating more revenue off the back of data.
Op-Ex will continue to rise initially with the O2 / VF network and the LTE licenses and costs, but will lower in the long run.
Other costs can be cut through, they'll be looking at cutting costs in all sorts of areas. Further franchising, further offshore if the 1st one goes ok. Telefonica says they believe there are a lot of areas in which they can still cut costs, they said this on the financial presentation online.
They now say they have more customers on the higher profit tariffs so they are expecting revenues to increase off the back of that.
I suspect they will turn things around, but if nothing changes and they carry on the current trend they'll be losing money by mid 2014, and nobody is in business to lose money, so expect some changes ahead to get the financials back in shape.
Do they?
They seem to be doing well attracting customers, satisfying those they have and selling mobile services at premium prices.
What about other networks that have never bothered to support UK customers from the UK? Their customer feedback re Ofcom surveys reveals how poorly UK customers regard them.
I think that was the point andys corner was making.
Yet O2's revenues are dropping like a stone and Three's revenues are steady or growing.....
And were attracting more new customers, although we'll have to wait for the next set of results to see if that's still the case.
Telefonica said on the web conference / financial report yesterday that there was plenty of scope still to cut costs and they are looking into lots of areas that they could cut costs in.
I guess we'll have to wait and see what those are.
seem to be doing well satisfying customers?
what by having outage after outage?
premium prices for what ultimately is a crap network, even less than a mile away from Manchester city centre, data is crap, voice calls break up and I can't be heard
good job I have my home broadband, and can still pick up wifi hotspots from my house, because I could never rely on o2 over the last 3 months
Thank god i'm on t-mobile/ee
unlimited data/texts and 2000 mins, unlimited t mobile mins, £21 a month
o2 doesn't even give you anything anywhere near that
When they are good they are very good, when they are bad they are terrible, and too many odd ideas, joggler for example- wtf?
Their main success has been staff that give a hoot, my fiancée was on tmobile when I met her, she got an O2 contract but didn't last full term cos the signal is a constant struggle, the people on the phone were sympathetic but the network engineers were idiots, if it wasn't for wifi I wouldn't be able to type this. Where I live we have an O2/tesco mobile call centre which employs nearly 1000 staff, if that closes our local area will be desecrated.
When I looked for a new contract I looked at which networks had uk only staff and low complaints rates hence I am with tesco.
I also have the slightly unpopular view that foreign outsourcing of call centres should be illegal, then again I have worked in call centres for 7 years (I don't work in the mobile industry)
Yes but not significantly so, they are only very slightly above T-mobile and way below most of the broadband providers despite being in the mobile broadband market, which typically does generate more Ofcom complaints. Of course the offshore call centre does mean that they have more money saved to invest in the 3G network and enables them to do the unlimited deals, they are pitched at the lower end of the market to O2.
They are also the fastest growing UK network and 2nd fastest growing in the whole of Europe.
Yes by a big margin compared with the best performer......and have been for many quarters. Only Orange beat them one quarter due to increased contract charges. They were at their highest level for seven quarters at the date of the last Ofcom report. See link below.
http://www.mobiletoday.co.uk/News/22687/Three_continue_to_generate_most_complaints__Ofcom_reports.aspx
http://stakeholders.ofcom.org.uk/binaries/research/telecoms-research/complaints/q2_2012.pdf
The statistics speak for themselves.
Mostly about their offshore call centers. O2s complaints are all about their utter bollocks network, severe lack of 3g coverage and oh, the outages you still keep ignoring!!
I have no recollection reading any breakdown regarding the small number of escalated complants Ofcom receive about the O2 network.
It would be useful to see a link posted to the Ofcom complaints breakdown for the O2 network to support the statement made above.
You don't seem to recall a lot do you?
I mean your still ignoring the 2 large outages in the matter of weeks!! Also while we are at it, can you defend why o2 have the WORST out of all the uk networks 3g coverage after nearly a decade of 3G being available in the UK?
He never does comment, for once I'd like him just to admit when something is bad and discuss it, like the 3G coverage or the outages, but even the obvious issues they the CEO admits are in issue are argued against or won't be commented on.
O2's CEO said he was embarrassed by the network failures and worried about the fallout, but Wavejock refuses to even comment on these. He even ignored the mobile forum for the whole week of the most recent outage.
No link to information about O2's Ofcom escalated complaints breakdown ........ just more opinion?
Future complaints leauge tables MAY address the issues of recent outages but that remains to be seen when they are published. Some companies can take a big hit, like News International did with phone hacking recently yet it may not have a direct affect on their sales. BSkyB for example continues to grow despite its connection to News Corp. So nothing is certain!
The "WORST out of all the uk networks 3g coverage', yet with the lowest number of complaints and the highest rated customer satisfaction. Perhaps O2 have coverage where it matters most as their customers seem to be content, loyal and are not paying the cheapest prices for their services.
Glossing over it again with some random rubbish about BSkyB....lol
Yes, the WORST 3G coverage and the WORST reliability of any UK network. Come on, defend it please.
Complaints numbers will not have come in yet over the last 2 outages so i suggest you curb that rubbish until they are released.
O2, if they ever do bring out 4G will be lagging miles behind every other operator even a decade after it first came out like its pitiful 3G network.
Sadly i'm stuck on O2 till January, but come that, i'm off! Absolutely useless they are.
Telefonica made a profit in the last results after the loss last time, they also paid off a lot of dept as a result of selling off businesses like China Unicom, Attento, O2 Germany, a travel agency and likely some latin American businesses shortly.
They have made a commitment to reduce borrowing by raising 7 billion to 8 billion euros a year through to 2015.
Even the private fleet of company jets isn't safe! as the company's net debt is bigger than its market value.
It has more jets than any other publicly traded company in Spain, including one bought from the Salton of Brunei. Staff are told now to use video conferencing and the company has taken away most of the colour photocopiers and the staff coffee! They are the lucky ones though as 6,500 staff have been made redundant.
However O2 will still have to find the money for the 4G auction and the necessary network costs, otherwise they'll be out of the game in the UK. I can't see them not investing in 4G.
With higher than average prices it still attracts and satisfies it's customers. That must really rile some folks who can't seem to understand that if they were anything like what they stated they would have been in decline for years as there are plenty of alternatives in the marketplace.
The same O2 bashers will continue to troll out the same tired claims, perhaps in the hope that if you repeat something often enough some might believe it!
Despite the 'opinions' of a few well known knockers on DS, O2 are still the success of the mobile industry in the UK by a mile!