TalkTalk plans to exit mobile business and explore new operations

The UK telecom giant TalkTalk is seeking a way out from its mobile business after an open talk with other providers about future business.

TalkTalk was initially a fixed-line broadband service provider to the businesses, now the company provides pay television, telecommunications, internet access and mobile network services to businesses and consumers in UK.

According to TalkTalk’s new management, led by Sir Charles Dunstone, Executive Chairman and Tristia Harrison, Chief Executive, it a part of the strategy move to revamp the company’s operations and focus on broadband services, as it moves to its roots as a budget internet provider.

TalkTalk had faced a lot of crucial issues in the last few years, 2015 data breach and 2016 malware router infection were also the key reasons for the downfall of the telecom giant.

In 2010, it signed a capacity deal with Vodafone and launched its first mobile phone service. As a part of the “Project Thunder”, TalkTalk was planning to strengthen its wireless services and set up its own mobile infrastructure. However, the strategy was dropped earlier this year. Wrong decision taken by the company’s management has put the future of the telecom giant at stake. The decision of opting out from launching a virtual network on top of O2’s network resulted in a £49m reduction in the company’s asset.

It is planning to set new deal with other mobile operators, where it would sell their sim cards alongside its broadband packages.

“We are in advanced discussion with a number of potential partners, including O2, to agree a low touch, retail arrangement that will enable us to continue to offer compelling mobile services to all our broadband customers,” TalkTalk said.