"Huawei is the ideal partner to meet our requirements. Huawei Technologies is one of the most state-of-the-art. Important for O2 mainly is the solution of Huawei to integrate UMTS- and GSM technology into a base station as well as an easy transformation of one existing GSM base station to UMTS."
——Andrea Folgueiras, CTO Telefónica O2 Germany
(From O2 Press Release, April 22, 2008)
"Our cooperation with Huawei has set new standards. Today, we see rapid growth of the mobile web. The new technology enables us to make a big step forward into the future this year."
——Jaime Smith Basterra, CEO Telefónica O2 Germany
(From comments made at a 2009 GSMA Press Conference in Barcelona, Spain)
O2 (Germany) GmbH & Co. OHG, a subsidiary of Telefónica O2 Europe plc and part of the Spanish telecommunication group Telefónica S.A., offers its German customers mobile telecom products as well as innovative mobile data services based on the GPRS and UMTS/HSPA technologies. Telefónica O2 Europe plc has more than 42 million mobile and fixed network customers in the UK, Ireland, the Czech Republic, Slovakia, and Germany. With almost 15 million subscribers, O2 Germany enjoys a 14.8% market share and enjoys the highest ARPU in Germany.
In December 2007, O2 selected Huawei as its key supplier to deploy its mobile network. The project included migration and expansion of GSM and UMTS networks involving more than 8,700 base stations. The project has provided network coverage in the richest and most developed industrial and commercial areas across the south of Germany, including places like Bavaria and Baden Wurttemberg. These regions are home to a wealth of well-known cities and tourist sites, including Munich, Germany's second largest city and the host of the 20th Olympic Games; historical cities like Stuttgart and Nuremberg; plus well-known tourist spots and resorts like Lake Königssee, the Black Forest, and Mt. Zugspitze.
With all the essentiality of oxygen, O2's name embodies the company's vision of providing mobile communications service that no one can live without. Huawei was charged with helping to build a living, breathing network that would add vigor and extend the service life of network equipment.
In terms of market share, O2 is still behind some other top German operators, but it boasts the highest APRU. Competition is fierce and the leading operators have launched hundreds of tariff packages. O2's secret to high ARPU is largely attributed to its extensive base of group users.
Successful configuration of BMW's network is a testament to the level of professionalism and cooperation between the Huawei and O2 project teams. In 2008, O2's new network gradually went into operation. With Huawei's superior product performance and high-quality delivery, O2 was able to substantially improve market performance and ranking. The company signed up 17 million new subscribers, increasing its subscriber base to 14.2 million. Operating income before depreciation and amortization (OIBDA) for the year totaled 770 million euros, a 62.9% year-on-year growth, while on a like-for-like basis, OIBDA grew by 6.6% year-on-year.
