Vodafone continues to grow 4G network

Vodafone continues to grow 4G network

UK network Vodafone has announced that it has signed up over 637,000 people to its 4G network, extending the service to a total of 233 towns and cities across the country.

The company also claims that those using 4G are consuming twice as much data as 3G customers.

The figures mean that Vodafone is beginning to gain ground on rivals such as EE, which due its head start has amassed around two million 4G customers.

O2, another relative latecomer to the 4G party, has meanwhile managed to extend its coverage to 191 towns and cities across the country, with indoor coverage of 33 per cent and outdoor coverage of 41 per cent.

Many experts therefore expect it to bulk up in a similar to way to Vodafone, competing with EE.

The news is sure to come as a boost to Vodafone, which has only managed to avoid a loss by selling its US network Verizon.

Its emphasis on superfast broadband is to be used as one of the main ways in which to turn around its fortunes.

Its results for the previous year until the end of March revealed that overall revenues have fallen by 3.6 per cent.

However, the uptake in 4G has meant that such a rate of losses are at their smallest for 18 months.

Dario Talmesio, principal analyst at Ovum, said: "Unfortunately, the uptake of data fails to deliver in financial terms.

"There is a certain paradox here: Vodafone is putting most of its commercial and investment efforts in something that is not turning revenues."

"Vodafone is moving to the right direction in adding fixed line and media assets, but ultimately it needs to restore or protect mobile retail pricing."

There was also good news for the firm in the form of contract net additions more than doubling to 57,000 year-on-year; higher than both O2 and EE.

It is also hoping that its plans to invest £19 billion in its infrastructure in order to enhance its customer base even further.