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O2 may secure lucrative 47,000 MOD connection deal

O2 are looking to land a mighty deal worth around 47,000 mobile connections with the Ministry of Defence (MOD), pinching the contract from rivals Vodafone.

The four year deal is the single biggest mobile contract deal in the public sector with lthe latest figures on annual mobile services spend released by the MOD coming in at around £5.9 million.

© Crown Copyright 2013  Photographer: SAC Matt Baker RAF  Image 45155672.jpg from www.defenceimages.mod.uk

The UK Government launched The Defence Fixed Telecommunications Service (DFTS) by partnering with BT in 1997 to ensure that they could securely manage their communication needs. The MOD have claimed that DFTS has saved it more than £800 million to date.

Mobile network operator Vodafone have provided the MOD with mobile connectivity to over 56,000 staff across the British Army, RAF and Royal Navy for more than 13 years (prior to the deal expiring last year).

According to Mobile News, neither BT, network operators or the MOD have commented at press with information on the new deal, however sources close to the situation have commented that a deal has been agreed upon and that number porting from Vodafone to O2 will begin within the next few weeks.

One sources has been quoted saying, "This is a huge deal for O2 and one of its biggest ever contracts,"

"It is the largest and most valuable contract in the public sector and Vodafone will be bitterly disappointed to have lost it after all this time."

While the exact reasons for the switch remain unclear at this time, one thought behind the MOD's decision to move from Vodafone to O2 lies behind the fact that in 2014 O2 were awarded a “government approved” CAS(T) certification.

O2 have stated that they've spent more than £1 billion on improving their network over the ast few years by spending around £1.5 million every day.

This appears to have paid off with O2 winning nine out of the seventeen available central Government contracts made available over recent years, this took their share over 40 per cent and also overtook Vodafone as the number one supplier to the public sector.

image © Crown Copyright 2013. Photographer: SAC Matt Baker RAF.