O2 CEO Admits Network Deterioration Due To Increasing iPhone Usage

O2 CEO admits to network deterioration

It's the same old story – An explosion in the usage of smartphones, especially the iPhone is causing clogged networks and have been largely responsible for subscribers' woes in connecting calls or downloading data. 

While this may sound all too familiar, the only twist is that it is not AT&T this time, but UK Carrier O2. 

Like AT&T in USA, UK's O2 network too has been smothered over the past few months with the proliferation of iPhones in the country. In a frank discussion with Financial Times, the CEO of O2, Ronan Dunne admitted that O2's network had deteriorated in the past six months in the London area primarily due to an increase in smartphone usage.

However, Ronan says a lot of work is already being done in order to ease this congestion out. He emphasized on a three pronged approach which the company has adopted in this regard. Accordingly, the company is working with its infrastructure supplier, Nokia Siemens on optimizing its software to better handle the voice and data traffic. The company is also installing over 200 mobile base stations in London to ease network congestion.

While it sounds good so far, O2's third "strategy" sounds a little creepy right now. The company says they are in talks with Apple and RIM to learn about mobile applications that have been causing higher loads on the network. Does that mean O2 is looking at usage based pricing like AT&T or data usage cap? We do not know. But considering that Orange's pricing plan in the UK has a 750MB data cap, it is likely that O2 is also looking at a similar approach to reduce data congestion.

Ronan Dunne has said that the recent "blip" in O2's network reputation shall be addressed soon. If you are an O2 subscriber, what do you think O2 should be doing? Will you continue your subscription in case O2 introduces a data usage cap? Please tell us in the comments. We would love to know.

[via Boy Genius Report]