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UPDATE 2-UK's O2 ends Carphone Warehouse partnership

Wed, 01st Apr 2020 14:54

(Adds Dixons Carphone comment)

LONDON, April 1 (Reuters) - Britain's O2 mobile network
is cutting ties with Carphone Warehouse after it
failed to agree a new partnership deal with the retailer, it
said on Wednesday.

"After 20 years of trading, our current consumer contract
with Dixons Carphone expired on 31st March 2020," said the
operator owned by Spain's Telefonica.

"While we've worked hard over the past year to put a number
of options on the table, it has not been possible to reach a new
agreement as they've made clear to the market that they wish to
take a new strategic direction and change the relationship they
had with mobile operators."

Dixons Carphone said on March 17 that it would close all 531
UK standalone Carphone Warehouse stores and shed 2,900 jobs as
part of a plan to turn around its loss-making mobile phones
business.

Dixons Carphone said it is moving to a "more flexible and
transparent mobile offer that gives better value and choice" and
which is scheduled to launch this year.

"We continue to offer our customers a wide range of choice
through our own Mobile Virtual Network Operator, iD Mobile, and
partners EE, Vodafone, Virgin Media and Voxi,
including those who currently have an O2 connection," the
company said in a statement.
(Reporting by Paul Sandle and James Davey
Editing by David Goodman)

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