BT Explores Low-Cost Mobile Brand Amid Revolut and Monzo's Ambitions
In a move that could shake up the UK's telecommunications landscape, BT Group is reportedly considering launching a low-cost mobile brand, with the aim of competing with fintech giants like Revolut and Monzo.
As the telecoms giant seeks to stay competitive in a market increasingly dominated by virtual network operators (VNOS), which have seen their share of the mobile market grow from 16.5% last year to an expected 20% or more in the coming years, BT is thought to be weighing its options for entering this lucrative space.
Revolut and Monzo, both known for their innovative fintech offerings, recently announced plans to launch mobile services that will not only provide a new revenue stream but also put pressure on traditional incumbent operators like EE. The fintech firms' entry into the market signals a shift in consumer behavior, with younger generations increasingly expecting seamless connectivity across different devices and platforms.
Meanwhile, BT is reportedly considering expanding its use of the BT brand for broadband services to attract older customers who may be less familiar with its newer EE and Plusnet offerings. However, this strategy could also be a way for the company to tap into a new market segment without significantly altering its core mobile business.
The plan to launch a low-cost mobile brand is said to have the backing of BT Group's chief executive, Allison Kirkby, and Indian billionaire Sunil Bharti Mittal, who recently became the largest shareholder in the company. However, a spokesperson for BT has dismissed reports of such plans, stating that there are currently no intentions to change its mobile offering.
With the UK's mobile market continuing to evolve, BT's consideration of launching a low-cost brand raises questions about its strategic priorities and how it will navigate the increasingly competitive landscape.
In a move that could shake up the UK's telecommunications landscape, BT Group is reportedly considering launching a low-cost mobile brand, with the aim of competing with fintech giants like Revolut and Monzo.
As the telecoms giant seeks to stay competitive in a market increasingly dominated by virtual network operators (VNOS), which have seen their share of the mobile market grow from 16.5% last year to an expected 20% or more in the coming years, BT is thought to be weighing its options for entering this lucrative space.
Revolut and Monzo, both known for their innovative fintech offerings, recently announced plans to launch mobile services that will not only provide a new revenue stream but also put pressure on traditional incumbent operators like EE. The fintech firms' entry into the market signals a shift in consumer behavior, with younger generations increasingly expecting seamless connectivity across different devices and platforms.
Meanwhile, BT is reportedly considering expanding its use of the BT brand for broadband services to attract older customers who may be less familiar with its newer EE and Plusnet offerings. However, this strategy could also be a way for the company to tap into a new market segment without significantly altering its core mobile business.
The plan to launch a low-cost mobile brand is said to have the backing of BT Group's chief executive, Allison Kirkby, and Indian billionaire Sunil Bharti Mittal, who recently became the largest shareholder in the company. However, a spokesperson for BT has dismissed reports of such plans, stating that there are currently no intentions to change its mobile offering.
With the UK's mobile market continuing to evolve, BT's consideration of launching a low-cost brand raises questions about its strategic priorities and how it will navigate the increasingly competitive landscape.