Vodafone Group, the world's largest mobile phone operator by revenue, has secured a four-year deal to provide Oracle Corp mobile services in its EMEA region.
Under the terms of the deal, Vodafone Global Enterprise, the division of Vodafone that manages the communication needs of its multinational customers, will supply mobile services management, mobile voice and data services to around 16,000 Oracle employees in the European, Middle East and Africa region.
Vodafone said the services would be offered on a fixed-fee, per-user basis, enhancing the potential for cost savings and efficiencies due to the flat rate fee structures.
Vodafone will also combine and simplify the management of mobile services within the company to drive standardisation and provide enhanced levels of control.
ÔÇ£We anticipate this will deliver greater cost efficiencies,ÔÇØ said Carol Kelly, vice president, Global Revenue and Procurement Operations, Oracle, commenting on the deal.
ÔÇ£As well as greater convenience, we expect that this partnership will deliver enhanced services to our employees through VodafoneÔÇÖs market leading solutions.ÔÇØ
The news will come as a major boost to a company that has faced criticism from shareholders over recent months concerning the groupÔÇÖs results. Some investors have even called for a break-up of Vodafone in the hope that a new structure would deliver greater value.
Last week however, Vodafone reported that while its European businesses continued to report falling underlying sales, together they were edging closer to growth.
European revenue fell 3.2 per cent in the three months to December 31, compared with the same period in 2008. It fell by 4.6 per cent in the second quarter.
Meanwhile, group revenue rose 10.3 per cent to £11.5 billion in the third quarter, compared with the same time in 2008, driven by favourable exchange rate movements and acquisitions.
Commenting on the groupÔÇÖs overall results, CEO Vittorio Colao said: ÔÇ£Service revenue trends have improved with continuing growth in our data and fixed line revenue.
ÔÇ£Free cash flow guidance has been raised reflecting the impact of our cost and working capital reduction programmes. We are on track to deliver on our strategic priorities in the current financial year.ÔÇØ
Vodafone Global Enterprise was established in April 2007 and provides managed communications services to global companies.
It operates across northern & central Europe; southern Europe; the Americas; Asia-Pacific and Africa, with operations in 21 countries.
