Starting 1 July, Telefónica Deutschland / O2 will begin the large-scale shutdown of its 3G network. The resources previously required for 3G will make way for the significantly more powerful 4G network by the end of the year. To this end, the telecommunications provider will use the frequencies of the currently around 16,000 3G transmitters on 2,100 MHz for 4G in the future. O2 customers as well as customers of Telefónica Deutschland's other own and partner brands will thus benefit from an even better network experience. Compared to 3G, 4G offers customers additional network capacities, higher surfing speeds and significantly shorter response times for mobile data usage. For all O2 customers still using a device limited to 3G, O2 is providing attractive offers for new devices.
Telefónica Deutschland and 1&1 Drillisch have agreed upon the long-term stipulations of their future cooperation in a National Roaming Agreement (NRA) and signed a corresponding contract on 21 May 2021. With the conclusion of the NRA and as part of the overall agreement, the remaining ongoing price reviews initiated by 1&1 Drillisch will no longer be pursued.
Telefónica / O2 got off to a good start in the 2021 financial year. Despite headwinds from COVID-19 effects, the company grew profitably in the first quarter of 2021. Driven by continued strong operating momentum across all businesses, revenues increased 0.2 percent to 1.85 billion euros and adjusted operating income OIBDA grew 5.5 percent to 562 million euros.
Telefónica Deutschland / O2 was the first network operator in Germany to bundle several mobile frequencies in its 5G network at the innovation site in Munich back in April. This accelerates 5G for O2 customers and ensures a stable high data throughput. With the combination of two frequency bands, the 5G data highway between the customer and the mobile communications system thus gets about twice as many lanes as before.
Telefónica Deutschland / O2 is continuing its own network expansion offensive in 2021 - with a much stronger focus on 5G and the technological transformation of the network. Following the largest 4G network expansion program in the company's history with over 11,000 new 4G transmitters in the previous year, O2 is now igniting the 5G expansion turbo. In addition, as a pioneer, O2 is focusing on technological innovations such as 5G carrier aggregation, 5G standalone, Open RAN and exciting 5G industry solutions via the cloud this year.
Wayra Germany, the Innovation Hub of Telefónica / O2, opens up access to state-of-the-art technology for startups to develop new 5G-based applications with its unique 5G Tech Lab | Telefónica / O2 has built the first 5G standalone network in Munich for this purpose | 5G network uses 3.7 GHz frequencies with 100 MHz bandwidth, which Telefónica / O2 acquired from the Federal Network Agency for the operation of a local campus network | Kick-off for startups: Unmanned Life, Eyecandylab, Haltian and YBVR present 5G applications such as mobile gaming, augmented reality and autonomous drones
Telefónica Deutschland / O2 closes the financial year 2020 with a strong performance during the overall economic recession. Thanks in particular to strong interest in higher-value mobile and fixed-network products from the core O2 brand, customer base and data volumes increased significantly. As a result, the company was able to increase its revenue and operating results (OIBDA). In terms of revenue and mobile customer accesses, the company grew faster than the competition. Telefónica Deutschland / O2 has fully achieved its targets and confirms its medium-term growth objectives.
Today, 1&1 Drillisch has bindingly accepted Telefónica Deutschland's National Roaming offer dated 5 February 2021. The companies are extending their long-term partnership by converting the current MBA MVNO contract into a National Roaming Agreement (NRA) under the remedy framework from the Telefónica Deutschland and E-Plus merger in 2014. Now, the parties are aiming to finalise the contractual details of the NRA by mid-May 2021.
Telefónica Deutschland / O2 is one of eleven companies headquartered in Germany to be included in the highly regarded Bloomberg Gender-Equality Index (GEI). It thus provides a good example of the transparent promotion of equal opportunities for women in the workplace, backed up by clear ambitions and key figures. And an international McKinsey & Company study from 2020 shows how important this is for corporate success: companies with high gender diversity are 25 percent more likely to be profitable than average.
Michael Falkensteiner (37) will take up the post of Director Brand & Marketing Communications at Telefónica Deutschland / O2 on February 1, 2021. In this role, he will be responsible for the core brand O2 as well as the secondary brand BLAU and will report to Wolfgang Metze, Member of the Management Board responsible for private customers.
In the competition for the best technologies and products, the following applies: The provider with the highest quality and the fastest product launch times (time-to-market) has a clear advantage. Telefónica Deutschland / O2 wants to significantly accelerate this process in the future and more than halve the time needed to launch new applications and products. To achieve this, the company is focusing on a fundamental transformation of its IT landscape by 2023. A leaner IT architecture with more efficient processes based on state-of-the-art technologies such as cloud solutions will enable the provider to drive innovation even faster in the future and reduce operating costs.
Telefónica Deutschland / O2 still aims deliver minimum cumulated revenue growth of five percent between 2020 and 2022 and sustainably improve its profitability | Investment plan for the period of 2020 to 2022 continues | Over 30 per cent 5G coverage in Germany by the end of 2021 and nationwide 5G network by 2025 | Active sharing agreed with Deutsche Telekom and Vodafone in so-called "grey spots" in rural areas | Telefónica Deutschland / O2 invests proceeds from sale of rooftop sites to Telxius mainly in infrastructure and business development | Progressive digitalisation reduces costs and increases revenues
Telefónica / O2 and Deutsche Telekom plan to close several hundred so-called grey spots in 4G network coverage for their customers before the end of the year. At the sites, the partners will share active network technology. Unlike previous collaborations such as site sharing or the operator agreement to close white spots, no second separate radio technology or additional antennas need to be installed in this approach. The two companies have now signed a corresponding letter of intent.
Telefónica / O2 and Vodafone want to close several hundred so-called grey spots in the 4G network coverage for their customers before the end of the year. At the sites, the partners will share active network technology. In contrast to previous cooperations such as site sharing or the operator agreement to close white spots, this approach does not require the installation of a second separate radio technology or additional antennas. A corresponding letter of intent has now been signed by both companies.
Telefónica Deutschland / O2 implemented the fastest and also most extensive network expansion in its corporate history last year. With more than 11,000 new 4G elements, O2 significantly expanded its 4G network and met the nationwide requirement of the Federal Network Agency to cover 98 percent of all households. Despite the restrictions imposed by the Corona pandemic, the coverage target of at least 97 percent of all households in each of the 16 German states was also met, as was the requirement for transport routes as far as actually and legally possible. In parallel, the company launched 5G and set the course for the digital future with innovations such as the first OpenRAN stations on the network.
Telefónica / O2 is taking a technological frontrunner role in the use of Open RAN. The company is the first German network operator to rely on Open RAN in live operation of its mobile network. With the open and vendor-independent solution for the radio access network (RAN), the company is launching a new era for German mobile communications. Open RAN can not only significantly change the supplier structure in the mobile communications sector worldwide, but also significantly accelerate the introduction of new services. Network operators and industry alike will benefit from this. In a pilot phase, Telefónica Deutschland / O2 is converting three O2 mobile sites in Landsberg am Lech, Bavaria. From fall 2021, the company plans to roll out the new technology on a larger scale in the O2 network.
In 2020, Telefónica Germany / O2 will be vigorously expanding the 4G network as part of the largest network offensive in the company's history. Now the company is reporting an important success: 98 percent of households in Germany are now covered by 4G, thus fulfilling the nationwide requirement of the Federal Network Agency (BNetzA).
In the current mobile network test by trade magazine connect, the O2 network secured a "very good" rating for the first time in the 25-year history of Telefónica Deutschland / O2. The toughest industry benchmark in the country thus confirms the decisive breakthrough in network quality that O2 has achieved with its 4G expansion offensive. All three German mobile networks are moving closer together in the evaluation and are on a par with each other with the grade "very good". The O2 network improved most significantly with a plus of 94 points to a meanwhile record of 852 points. In terms of mobile data usage, the O2 network is now the second best provider in Germany.
Strong performance in the CHIP network test 2020: Thanks to the comprehensive network expansion offensive, the O2 network makes the biggest quality leap (+25 percent) across all network operators this year and is catching up closely with the competition. O2 again receives an overall "good" rating, but improves it to a strong 1.59 (after 2.3 in the previous year). The network thus missed the leap to "very good" (from 1.50) by a hair's breadth – a motivation for further network expansion and the coming year. Especially pleasing for O2 customers: The CHIP network test certifies the O2 network a very good network quality for mobile calls and data usage as well as a good 4G availability – also in rural areas and along train routes.
"Compared to last year, O2 has made enormous progress in LTE coverage" - that is the conclusion of this year's network test of trade magazine COMPUTER BILD ("The best network for 2021"). The O2 network once again secured an overall "Good" (2.4) rating and improved in numerous important categories. This year's score is based on much stricter measurement criteria. For the first time, only 4G data connections are considered and 3G connections are no longer rated. Particularly pleasing for O2 customers: The O2 network is taking the biggest step forward in 4G availability in rural areas across all operators and is improving significantly. In addition, the O2 network cuts a good figure in large cities and leaves the competition behind in some cities.
Telefónica Deutschland / O2 is once again accelerating its network expansion: By the end of 2021, the network operator will convert the existing 3G technology of its O2 network to more powerful 4G technology - one year ahead of schedule. Customers of all brands of Telefónica Deutschland / O2 will benefit from a better network experience in their daily data usage. O2 customers will be able to surf the web significantly faster via the 4G network than on the former 3G basis and the voice quality will improve noticeably. With this decision it is also clear: By the end of 2021 3G will be a thing of the past in Germany. Mobile phone customers in this country will in future only use the significantly faster 4G and 5G standards for mobile applications such as social media or music and video streaming.
The business of Telefónica Deutschland / O2 performed well in the third quarter. Thanks to high customer interest, especially in mobile tariffs of the core brand O2 and fixed-network offers, the company was able to slightly increase revenue and its operating result (OIBDA). In the mobile business, a positive seasonal development in the demand for prepaid tariffs could be seen in addition to a strong development in the number of postpaid accesses. The company is thus on track to achieve the targets it has set itself for the year as a whole.