- CEO Markus Haas signals move to active network sharing in ‘white spots’.
- 6,000 new antennas may not be needed after all.
Telefónica Deutschland (O2 Germany) provided a rare update on progress with closing down of so‑called ‘white spots’ — areas where no operator provides 4G signals.
Markus Haas, Chief Executive (CEO) of O2 Germany, signalled that changes to the 2019 passive network‑sharing arrangement with rivals Telekom Deutschland and Vodafone Germany on the joint construction and operation of up to 6,000 mobile base stations could be afoot (Telefónicawatch, #134)
During the earnings call for the three months to 30 September 2022 (Q3 FY22), Haas indicated that the three mobile network operators (MNO) are in talks on potentially implementing what he described as “grey spot technology” in those zones.
In addition to the three‑way white spot agreement, the MNOs have formed bilateral collaborations on sharing active 4G network infrastructure in ‘grey spots’ — places typically in rural and “less frequented” areas, where one operator has coverage and the other does not.
In other words, the MNOs are mulling the adoption of active instead of passive network sharing for white spots. Haas did not provide details about the “grey spot technology”, although he could be referring to the multi‑operator core network (MOCN) approach used for active network sharing in grey spots.
A 3GPP‑accepted architectural-sharing solution, MOCN uses a single frequency band, but broadcasts separate operator identities for all participants, giving the impression of differentiation, even though all traffic is carried together until it breaks out to the operators’ core networks.
Tweaking tower numbers
Haas further indicated that the MNOs might not need to build all 6,000 towers (2,000 per operator) to eliminate white spots because of progress made with individual network rollouts. O2 Germany noted that its own 5G network now covers 75% of Germany’s population, which is ahead of its original target of 50% by the end of 2022 (see separate).
Haas said “more clarity on the concrete ramp‑up plan” will be provided in 2023. He also conceded that of the 2,400 new sites expected to be provided for the operator by American Tower over the next few years, only a “few hundred” have been built to date.
Meanwhile, it is not clear how German regulator Bundesnetzagentur (Federal Networks Agency/BNetzA) would respond to changes in strategy to improve 4G network coverage.
Handelsblatt reported in October 2022 that BNetzA had told the MNOs to step up efforts to improve coverage, particularly with regard to eliminating white spots (Telefónicawatch, #168). An internal document on progress made up to August 2022 reportedly noted that only 89 white spots had been wiped out. The regulator and MNOs had apparently agreed on a target of 600 white spots by the end of 2022.
The MNOs have typically been more open about progress on grey spots. For example, in September 2022, O2 Germany and Telekom Deutschland said they had reciprocal access to 200 mobile sites. By the end of the year, both MNOs intend to boost the mutual access number up to 700 (Telefónicawatch, #167).
O2 Germany has signed active network‑sharing agreements with both Telekom Deutschland and Vodafone Germany in order to improve coverage in grey spots.
