Vodafone and Telefónica are to share mobile network infrastructure in Europe.

Telecoms giants Vodafone and Telefónica, which owns O2, have announced that they will share mobile network assets across selected European operations.

As two of the world’s largest telecommunications operators, they are engaging in a wide-ranging strategic programme which is anticipated to deliver savings of hundreds of millions of euros for both companies over the next ten years.

Vodafone and Telefónica will share network infrastructure in Germany, Spain, Ireland and the UK, and there are ongoing discussions in the Czech Republic.

In the UK and Ireland, the elements of the network to be shared include: masts, antennas, sites, cabinets and power supply. The network electronics Nodes B (3G), BTS (2G) and the radio network controllers which are linked to the core network are to remain independent. In Germany and Spain, masts and cabinets are shared, along with power supply.

The key advantages of the partnership are increased service levels, more widespread and efficient mobile broadband coverage, and reduced environmental impact.

The joint building of new sites and/or consolidation of existing 2G and 3G mast sites, with one site housing the equipment of both companies where previously two would have been used, is expected to lead to a significant reduction in the total number of masts in operation and reduced environmental impact, compared to both companies expanding their networks separately.

As part of the collaboration, Telefónica and Vodafone are also actively exploring opportunities to cooperate in related areas such as the provision of transmission services.

Matthew Key, CEO of Telefónica Europe, commented:  “This industry-leading collaboration means that Telefónica and Vodafone will continue to compete strongly against each other in local markets, while giving our customers enhanced mobile coverage in more places, using fewer mast sites.”

Michel Combes, CEO, Vodafone Europe, said: “This move will enable us to focus our resources on developing more innovative and market leading services while delivering on our pledge to reduce the environmental impact of our network roll out.”