Google in discussions with mobile operators to allow free roaming on its network

07 Apr 2015

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Google is in discussions with the operator of the UK's Three and several other mobile networks to allow subscribers to use its upcoming mobile phone service at no cost while abroad.

According to a report in the Saturday Telegraph the internet search company hoped to offer customers free use of its upcoming network while outside the US, with none of the traditional "roaming" fees travelers paid.

That option was the subject of negotiations between Google and Hong Kong-based Hutchison Whampoa, according to the UK newspaper, which cited unnamed industry sources.

According to commentators, the company had a potentially powerful global partner in Hutchison Whampoa to help it cut roaming fees. The company operates the UK's Three network. It also had operations in Hong Kong, Macau, Indonesia, Vietnam, Sri Lanka, Italy, Sweden, Denmark, Austria and Ireland.

In March, Google announced plans to offer mobile phone network service over the coming months through partnerships using other operators' network infrastructure.

Although according to Google's product chief Sundar Pichai, the service would be "smaller scale," it had disruptive potential by way of resetting customer expectations for what a network should offer and how much it could cost.

Roaming fees formed a component of mobile phone service for people who traveled outside their home countries. They could be offered to customers with steep fees for calls, text messages and internet data transfer -- unless they chose to forgo mobile phone service while traveling.

Hutchison Whampoa was also in looking to  acquire the UK's O2 network from Telefonica, which would make it an even more powerful partner to help Google cut the roaming fees.

If the negotiations worked out it could make a huge impact on mobile operators as other mobile operators would be left with only two options according to commentators.

They could either make similar arrangements or they would surely go broke since none would continue to use their service.

 

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