The Wall Street Journal is reporting T-Mobile owner Deutsche Telekom and Orange owner France Telecom are to combine their UK divisions.
This would create the largest mobile operator in the country, with a combined total of 30 million customers and around 38 percent of the market.
It's not clear if the deal, which the WSJ expects to be announced early Tuesday morning, will be a traditional merger or whether both brands will remain intact.
Savings could be made in terms of sharing and upgrading infrastructure, as well as rationalising retail stores, and sales and marketing efforts.
It's been known for a while that Deutsche Telekom was considering its options for T-Mobile UK, which is the smallest of the four UK networks. It wrote off 1.8 billion on the business in its first quarter financials
Details of the deal will also have to be considered by the Office of Fair Trade.
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Contributing Editor
A Pocket Gamer co-founder, Jon is Contributing Editor at PG.biz which means he acts like a slightly confused uncle who's forgotten where he's left his glasses. As well as letters and cameras, he likes imaginary numbers and legumes.
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