IBM has lost a major court battle against rival BMC Software this week, with a US court ordering the technology specialist to pay $1.6 billion to BMC in reparations. 
The case relates to the two companies’ relationship with US telecoms giant AT&T, with BMC accusing IBM of stealing the operator as a client, breaking various agreements in the process.
Back in 2007, BMC struck a deal with AT&&…

IBM has lost a major court battle against rival BMC Software this week, with a US court ordering the technology specialist to pay $1.6 billion to BMC in reparations. 

The case relates to the two companies’ relationship with US telecoms giant AT&T, with BMC accusing IBM of stealing the operator as a client, breaking various agreements in the process.

Back in 2007, BMC struck a deal with AT&T to provide software services for the operator’s mainframe computers. At the same time, AT&T was already partnered with BMC’s rival, IBM, for mainframe servicing.  

As a result, in 2008, IBM and BMC signed an agreement to govern their business relationship, which was amended in 2015 to include a clause disallowing IBM from moving mutual clients to its own software.

Despite this agreement, however, later that year AT&T began what was called Project Swallowtail, migrating from BMC’s software to IBM’s.

BMC accused IBM of deliberately stealing the AT&T account in direct violation of their agreement and took legal action in 2017.

Now, five year’s later, US District Judge Gray Miller has ruled heavily in favour of BMC, saying that IBM had induced BMC to sign the 2015 amendments in order to gain an advantage in luring AT&T to migrating to their services.

« The court finds by clear and convincing evidence that IBM fraudulently induced BMC into entering the 2015 OA so that it could exercise rights without paying for them, secure other contractual benefits, and ultimately acquire one of BMC’s core customers, » wrote Judge Miller. « IBM did this intentionally. »

The judge noted that IBM’s close access to BMC software being used by AT&T, giving them insights into how to win over the client.

« IBM’s scheme to defeat BMC’s contractual rights cheated BMC – a software company wholly dependent on the licensing of its intellectual property – out of hundreds of millions of dollars it was entitled to receive under the contract in exchange for the rights IBM exercised. Based on all the foregoing facts, the court finds that IBM’s conduct in this case was both fraudulent and malicious, » Miller said.

BMC had initially sought $791 million for IBM’s breach of contract and an additional $104 million in lost business from the AT&T account.

In his ruling, however, Judge Miller awarded BMC $717.7 million in contractual damages, $168.2 million in prejudgement interest, and a further $717.7 million in punitive damages. 

“IBM’s business practices — including the routine eschewal of rules — merit a proportional punitive damages award,” he said. 

IBM says that the verdict is “entirely unsupported by fact and law” and will appeal the decision.

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Also in the news:
BT and Ericsson target UK industry with private 5G partnership
SKT consortium bids to become South Korea’s first flying car operator
Take a byte: VMO2 and Greggs offer families free mobile data

Today, Virgin Media O2 (VMO2) and UK bakery chain Greggs have announced a new partnership that will see them work together to provide free mobile data to families struggling to pay bills during the ongoing cost-of-living crisis. 
The programme, facilitated by the Greggs Hardship Fund, will see VMO2 provide free O2 SIM cards and voucher codes to families…

Today, Virgin Media O2 (VMO2) and UK bakery chain Greggs have announced a new partnership that will see them work together to provide free mobile data to families struggling to pay bills during the ongoing cost-of-living crisis. 

The programme, facilitated by the Greggs Hardship Fund, will see VMO2 provide free O2 SIM cards and voucher codes to families, providing up to 15GB of data. Eligible families will be able to access these resources through their schools, with VMO2 hoping to 255,000 people get connected by the end of 2023.

As of today, the project is being trialled in Scotland, the North East, South East, and the Midlands, with other regions of the UK potentially to be added in future.

The scheme is being conducted as part of the wider National Databank project, in which both Vodafone and Three are also participating. Described as a ‘food bank for data’ and operated by the Good Things Foundation (GTF), the project allows operators to donate free SIMS and data which is then delivered the people in need via GTF’s community partners network. 

“We’re proud to see the National Databank go from strength to strength, providing free mobile data to people who need it. We’re delighted to welcome the Greggs Foundation, so we can support more families across the UK and help connect the disconnected,” said Nicola Green, VMO2’s Chief Communications and Corporate Affairs Officer.

Numerous operators in the UK have been taking notice of the ongoing cost-of-living crisis, noting its potential for deepening the digital divide in the UK and furthering inequality for decades to come. Last month, Vodafone noted that the crisis was driving up the demand for connectivity, citing data from foodbanks obtained via their partner the Trussell Trust.

Earlier this week, five UK ISPs announced they were forming a consortium called the Rebel Alliance to campaign for the industry to make broadband services more affordable and accessible, particularly through offering social tariff, noting that existing discount tariffs were greatly under-subscribed.

Today, BT and Ericsson have announced a new partnership that will see them work together to provide private 5G networks for Industry 4.0 customers. 
 
The deal will see BT use Ericsson technology to provide private 5G networks to partners in various industries, including manufacturing, healthcare, and transport and logistics, focussing on enabling valuable solutions like asset tracking, predictive maintenance, and automation.
 
The specifics of the multi…

Today, BT and Ericsson have announced a new partnership that will see them work together to provide private 5G networks for Industry 4.0 customers. 

The deal will see BT use Ericsson technology to provide private 5G networks to partners in various industries, including manufacturing, healthcare, and transport and logistics, focussing on enabling valuable solutions like asset tracking, predictive maintenance, and automation.

The specifics of the multi-million-pound deal were not revealed, though we are told the terms are for multiple years.

“This UK-first we have signed with Ericsson is a huge milestone and will play a major role in enabling businesses’ transformation, ushering in a new era of hyper-connected spaces,” said Marc Overton, BT’s Managing Director for Division X, Enterprise. “We have combined our skill and expertise at building converged fixed and mobile networks with Ericsson’s leading, sustainable and secure 5G network equipment, to offer a pioneering new proposition that will be attractive to many industries. 5G private networks will also support smart factory processes and the advancement of Industry 4.0 which can realise significant cost savings and efficiencies for manufacturers. 

Overton noted the versatility of private 5G networks, being configurable to the enterprise customer’s specific requirements, as well as providing “the foundation to overlay other innovative technologies such as IoT, AI, VR and AR”.

Now, two years later, the operator is keen to showcase the project’s success, holding it up as a poster child for a private 5G deployment in real-world setting and an enabler of numerous additional technologies.

“We’re now into phase two of the project and this includes various use cases such as teleoperation of heavy plant machinery, artificial reality (AR) for remote maintenance, as well as enhanced video AI analytics and the use of drones for surveillance and inspections,” said Overton.  

In addition to Belfast Harbour, BT has other private 5G network projects currently underway with Ericsson, including at the Worcester Bosch factory, where the technology is being used to enable IoT, edge computing, and autonomous robots. 

Regardless, it is clear that interest in private 5G networks for industry partners is growing and we should expect to see more deals of this sort announced in the near future as operators move to make their private network solutions more accessible for potential customers. 
 

Earlier this year, the South Korean government launched its government’s K-UAM Grand Challenge programme, seeking to identify the country’s first operator of urban air mobility (UAM) services. 
Launched by the Ministry of Transport, the project seeks to bring together various industry players, including aircraft developers, airspace designers, and air traffic management operators, to help develop the UAM ecosystem and commercialise UAM in central Korean cities by 2025.
Since the programmes launch in February, companies have been invited to submit applications to participate, with selected parties then set to demonstrate their UAM capabilities for the government and potentially be selected as the country&’…

Earlier this year, the South Korean government launched its government’s K-UAM Grand Challenge programme, seeking to identify the country’s first operator of urban air mobility (UAM) services. 

Launched by the Ministry of Transport, the project seeks to bring together various industry players, including aircraft developers, airspace designers, and air traffic management operators, to help develop the UAM ecosystem and commercialise UAM in central Korean cities by 2025.

Since the programmes launch in February, companies have been invited to submit applications to participate, with selected parties then set to demonstrate their UAM capabilities for the government and potentially be selected as the country’s first UAM operator.

The end of May marks the deadline for submissions and today The Korea Herald has reported that South Korea’s largest telco, SK Telecom (SKT), is at the helm of a major bid to take part in the Challenge. 

According to the report, SKT will lead a consortium including Hanwha Systems, Korea Airports Corp., and the Korea Transport Institute, leveraging its 5G and 4G networks to establish the vital real-time communications needed for UAM vehicles to operate succesfully.

Crucially, Hanwha Systems has already conducted UAM aircraft tests last year with their US partner Overair, featuring a prototype of an air taxi called ‘Butterfly’, featuring electric vertical take-off and landing (eVTOL).

The government has also received additional proposals from car-maker Hyundai, Korean IT firm Kakao Group, and conglomerate Lotte Group, each of which is backed by their own expansive consortium of diverse partners. 

Evaluation and due diligence of the various proposals will now take place until mid-October, with the participants officially selected in November this year. Developmental testing, including demonstration flights, are scheduled to take place until up to March 2024 at the latest, after which a winner will be selected.

The Challenge’s schedule remains very flexible due to a variety of factors, “including changes in government policy, the status of infrastructure construction, domestic and international conditions, and natural disasters”, according to the K-UAM Grand Challenge Website.

The winner of the Challenge will work with the South Korean government over the next few years on further demonstrations and validation tests, before being allowed to operate their own service in urban areas in 2024, with commercialisation planned for 2025.

According to the Ministry of Transport, initial services being prioritised will include airborne medical services, such as flying ambulances, and cargo delivery to underserved communities. Less critical applications, such as tourist trips and even UAM theme parks, are also being considered in the longer term.

As you might imagine, this is a huge economic opportunity for the winning bidder, with financial firm Morgan Stanley predicting the burgeoning UAM sector will be worth up to $1.5 trillion by 2040.

The timeline, with its 2025 commercialisation date, however, seems somewhat optimistic. Even with early commercialised services only allowing the eVTOL flights through pre-designated, fixed corridors, there is still an enormous amount of complex regulations and infrastructure that must be legislated and deployed to make this project viable in a real-world setting.

Many of the challenges of standardisation and regulation mirror those facing the drone industry, another rapidly growing sector in which the telecoms operators and their connectivity have a key role to play. In the UK, for example, Vodafone has been particularly active in supporting drone projects supported by its mobile connectivity, including delivering NHS supplies to remote locations during the pandemic. 

Earlier this year, a consortium announced its plans for Project Skyway, the world’s largest drone corridor in the UK, spanning 165 miles. Dubbed by consortium leader, Altitude Angel, as the most ambitious transport project proposed since the advent of the railway network, the project is far greater in scale than Project XCelerate, the UK’s first and only commercial drone corridor so far, which is largely being used for drone trials. 

A timeline for Project Skyway has yet to be announced, with the regulatory infrastructure surrounding such a large project requiring considerable investigation by the government and other stakeholders.

Nontheless, from drones to UAM, facilitating airborne connectivity is clearly an enormous opportunity for telcos and it should come as no surprise that SKT, one of the most innovative operators in one of the most advanced markets in the world, should be staking a claim to a key role in the sectors’ development.

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Also in the news: 
Malaysian telcos continue to clash with govt over 5G
Amdocs buys Mycom OSI in $188m deal
Lithuania begins long-awaited 5G spectrum auction

Tell us about your start up We are a Street Works consultancy, delivering a management, coordination and planning package to our clients. We are based in Southampton, but work on contracts all over the UK. We have a growing reputation of going the extra mile to meet targets for our clients, adding that personal touch along the way. We work tirelessly to build and maintain relationships with all parties, from Local/ Highway Authorities, Works Promotor, traffic management…

Tell us about your start up
We are a Street Works consultancy, delivering a management, coordination and planning package to our clients. We are based in Southampton, but work on contracts all over the UK. We have a growing reputation of going the extra mile to meet targets for our clients, adding that personal touch along the way. We work tirelessly to build and maintain relationships with all parties, from Local/ Highway Authorities, Works Promotor, traffic management, contract managers, site agents, supervisors and gangers. We also have robust processes in place to minimise the risk of Fixed Penalty Notices and Section 74 overstays.

What is your USP?
We tailor our business to the requirements of each client. We work remotely but can provide full back-office support to offer Project and Street Works management, supply a Daily Whereabouts and source Stats/ Utility Prints/ Safe Digs for any location in the UK. We can now offer site surveying of existing and planned infrastructure. Ad-hoc office or site visits and meetings can also be arranged, should there be a need to meet with an Local Authority

What is your relationship with the telecom sector?
We have direct contact with Internet Service Providers and builders of Full Fibre infrastructure.

How have you got to your current stage of development?
The founder has grown the business gradually over time, building many relationships with clients and colleagues, and getting recommendations and referrals following on from that. We are looking to increase our exposure and profile to become the primary Street Works solution provider.

Why did you establish the business?
A decade ago, I was fortunate to land a coordination role on the Street Works team of a very well-established civil engineering company, delivering services across multiple utility sectors, including telecommunications, gas, power, water, renewable energy and rail. I worked my way up through the organisation to become a Team Leader. I then had the opportunity to work for a more recently established company, dedicated to managing the sewer contract for a water supplier. I was then approached by another very well-established Tier 1 contractor, to work on a large telecoms project in the south. Finally, around 6 years ago, I was presented with an opportunity to work on a Highways England build and another Tier 1 contractor. This is where I established my Limited Company and the rest is history! I’ve worked with some of the market leaders and biggest telecoms suppliers, that are working hard to build competition and help keep prices low for consumers.

Who inspired you?
I have worked with several key and important people along the way. I have learned to take the positives from each experience to be the manager I am today, but I am always striving to learn more and become a better version of myself. Currently, my small team of dedicated individuals inspire me more than ever. They manage to juggle lots of things, but their keen eye for detail and dedication to their roles is the key to the success of the business.

What does the future hold for your business?
Further expansion into Project & Street Works management, inspection and surveying. We aim to deal directly with Tier 1 and 2 contractors, trying to break the monopoly in the market!

HEADQUARTERS: Southampton
NUMBER OF EMPLOYEES: 4
LAST FUNDING TYPE: Privately funded
WEBSITE URL: solentstreetworks.com
FOUNDER: Founder and Managing Director – Andrew Waight

Solent Streetworks will be participating in Connected Britain on the 20-21 September 2022 in London. To meet them and other startups visit totaltele.com/connectedbritain

A1 Telekom Austria Group said on Thursday that it has acquired Bulgarian ICT company STEMO. 
 
STEMO was founded in 1991 and offers software services and other ICT management and support services to the international market.
& …

A1 Telekom Austria Group said on Thursday that it has acquired Bulgarian ICT company STEMO. 

STEMO was founded in 1991 and offers software services and other ICT management and support services to the international market.

Under the terms of the agreement, STEMO will still operate independently of A1 Bulgaria, while benefitting from the company’s financial resources and customer base. 

This agreement is of the result of a broader strategy from A1 that will allow them to utilise the financial and technological knowledge of STEMO to tackle complex technological problems for public, private, and government organisations. 

“The deal is a natural step in the development of our IT expertise and will allow us to offer increasingly complex technological solutions to companies of all sizes. I believe that our experience in software as a service (SaaS), infrastructure as a service (IaaS) and cybersecurity, combined with the long-term expertise of STEMO, will lead to the development of the entire market of high-tech solutions in the country,” said A1 chief executive Alexander Dimitrov.

The transaction, which is subject to regulatory approval, is expected to result in significant improvements in terms of network connectivity, cybersecurity, and software development for both parties. 

The parties have decided not to disclose the value of this agreement, however A1 will finance the transaction, ancillary to merger control clearance, via its existing cash flow.

The Connected Britain Awards have become a regular and hotly contested element of the annual Connected Britain event, which returns to London on the 20-21 September 2022. This year’s awards promise to be the best yet with fourteen categories…

The Connected Britain Awards have become a regular and hotly contested element of the annual Connected Britain event, which returns to London on the 20-21 September 2022.

This year’s awards promise to be the best yet with fourteen categories, four of which are new for 2022 – including for the first time a Startup Award open to the disruptive organisations displaying their innovative solutions in the Connected Britain Startup Village.

To further enhance this year’s awards, we have strengthened the judging panel and now have twenty-five recognisable and expert faces assessing the entries, including the likes of Lorne Mitchell (Objective Designers), Karen Egan of EndersAnalysis, and Point Topics Oli Johnson.

The awards are open to organisations from across the connectivity landscape, including operators and altnets, local government, third sector and suppliers to the industry. In 2021 winners included CityFibre, Sunderland City Council, 5G Rural Dorset and ITS Technology Group – you can see the full list of winners here.

Entries are now open for this year’s awards, which remain free to enter for all organisations. Submissions must be submitted online by the 8th July 2022.

This years categories
• The Full Fibre ISP Innovation Award
• Enterprise Solution of the Year [NEW FOR 2022]
• The Sustainability Award
• Project Rollout Award
• Digital Council of the Year
• The Smart Places Award
• B2B Service Provider of the Year
• Broadband Provider of the Year
• Digital Skills Award
• The Access Innovation Award [NEW FOR 2022]
• The Industrial Innovation Award [NEW FOR 2022]
• The Barrier Removal Award
• The Community Improvement Award
• Startup Award

Winners will be named at Connected Britain on the 20 September 2022. To get involved visit totaltele.com/connectedbritain

A new strategic partnership announced this week will see BT’s business services become available to MTN’s enterprise customers.
The first service to become available will be a security operations centre (SOC) service, featuring a cloud-based platform for security incident and event management…

A new strategic partnership announced this week will see BT’s business services become available to MTN’s enterprise customers.

The first service to become available will be a security operations centre (SOC) service, featuring a cloud-based platform for security incident and event management. This will allow business customers to more effectively monitor and improve their cyber-security, improving the ways in which they prevent, detect, analyse, and respond to threats.

The service is provided on a subscription basis, with round-the-clock support from BT’s security team.

In addition to these new security offerings, the partnership will also see BT’s wider range of united communication and collaboration solutions, including wholesale voice, Microsoft Teams voice, and global SIP solutions.

“The world’s leading banks, healthcare providers, energy companies and governments put their trust in BT to connect and secure their operations. We look forward to working with MTN to bring the same cutting-edge services and solutions to businesses across the African continent,” said Alessandro Adriani, indirect sales director at BT.

Since 2020, BT’s enterprise unit has headed up by Rob Shuter, the previous CEO of MTN, which could well be one of the driving factors behind the the companies’ growing partnership.

In related BT news, it was announced this week that UK business secretary Kwasi Kwarteng is invoking new government powers to investigate billionaire Patrick Drahi’s increased stake in the incumbent operator. The powers, granted by the National Security and Investment Act 2021, allow the minister to review any investment into business transactions that they believe could be a threat to national security.

What impact does Drahi’s stake in BT have for the wider UK telecoms industry? Find out from the experts at this year’s live Connected Britain event

Also in the news: 
Malaysian telcos continue to clash with govt over 5G
Amdocs buys Mycom OSI in $188m deal
Lithuania begins long-awaited 5G spectrum auction

Today, BT has announced that it has received notification from the UK government that billionaire Patrick Drahi’s newly acquired 18% stake in the company is set to be examined due to national security concerns. 
This comes as a direct result of a decision by business secretary Kwasi Kwarteng, who is exercising new powers granted to him by the National Security and Investment (NSI) Act 2021…

Today, BT has announced that it has received notification from the UK government that billionaire Patrick Drahi’s newly acquired 18% stake in the company is set to be examined due to national security concerns. 

This comes as a direct result of a decision by business secretary Kwasi Kwarteng, who is exercising new powers granted to him by the National Security and Investment (NSI) Act 2021.

The NSI came into force on January 4 2022, giving Secretary of State the power to ‘call-in’ business transactions for review if they believe the deal could represent a threat to national security.

Earlier this week, Kwarteng had already exercised these powers to call in a review of the takeover of the UK’s largest chip fab, Newport Wafer Fab, by Chinese-backed Nexperia. Sources suggest that other takeovers have also been called in for review without publicity in the past six months.

The investigation into Drahi’s stake does not relate to his entire holdings in the business, but only the most recent 6% he purchases back in December last year.

Drahi formed Altice UK back in June 2021 to take an initial 12.1% stake in BT for around £2 billion. The move immediately made Drahi BT’s largest stakeholder, sparking speculation that the billionaire was seeking to launch a potential takeover. 

Drahi was quick to distance himself from such speculation, however, saying that he did not intend to takeover the business, thereby triggering a legal clause meaning he could not increase his stake for six months. 

During this time, BT set about shoring up its defences against a potential takeover bid, including hiring advisory firm Robey Warshaw LLP to work alongside Goldman Sachs in preparation for a potentially takeover attempt. 

When the December 2021 deadline arrived, Drahi increased his stake in BT from 12.1% to 18%, but once again denied interest in taking over the business. As before, these statements meant that he was not allowed to increase his stake further for the next six months – a new deadline which is now just weeks away and could be the motivation for Kwarteng’s decision to invoke his NSI powers.

“The timing looks linked to Altice’s takeover restrictions lapsing in June, and this may be more a warning about further control being acquired than an objection to the 18 per cent stake per se,” James Barford, an analyst at Enders Analysis, told the Financial Times.

Indeed, given the critical nature of BT’s infrastructure, which carries highly sensitive government data, it seems highly unlikely that the government would allow ownership of BT to be passed to a foreign investor.

This national security assessment is set to last 30 days, though this could be extended to 45 days if necessary. 

What impact does Drahi’s stake in BT have for the wider UK telecoms industry? Find out from the experts at this year’s live Connected Britain event

Also in the news: 
Malaysian telcos continue to clash with govt over 5G
Amdocs buys Mycom OSI in $188m deal
Lithuania begins long-awaited 5G spectrum auction

When it comes to 5G, Malaysia’s strategic approach has been somewhat unorthodox, with the government setting up a national wholesale 5G network operator, DNB, back in 2021.
This approach, the government claimed, would allow for a more efficient rollout of 5G infrastructure across the country and ensure fairer prices for the country’s citizens. The nation’s telcos, however, disagreed, saying that the wholesale prices proposed by DNB were too high and that it would be more effective for them to rollout 5G services themselves…

When it comes to 5G, Malaysia’s strategic approach has been somewhat unorthodox, with the government setting up a national wholesale 5G network operator, DNB, back in 2021.

This approach, the government claimed, would allow for a more efficient rollout of 5G infrastructure across the country and ensure fairer prices for the country’s citizens. The nation’s telcos, however, disagreed, saying that the wholesale prices proposed by DNB were too high and that it would be more effective for them to rollout 5G services themselves. 

By December 2021, uptake of DNB’s 5G offering was so low that the wholesale company was forced to take drastic measures, offering the telcos 5G services for free until the end of March 2022, a period that was later extended to the end of June. 

But despite this olive branch, the impasse between DNB and the telcos continued, leading the government to propose earlier this year that nine Malaysian telcos take a combined 70% stake in the state-owned company. 

At the time, this proposal seemed to please the operators, who said they looked forward to an approach typical of any normal mergers and acquisitions process. Fast-forward to last week, however, and the situation was still mired in controversy, with only Telekom Malaysia and YTL Communications, two of the country’s smaller mobile players, having signed agreements with DNB.

In fact, Malaysia’s four largest operators, Digi Telecom, Celcom Axiata, Maxis, and U Mobile, wrote a joint letter to the operator, suggesting that the minority stakes on offer would not offer them good value.

“The Ministry of Finance-proposed role as minority shareholders does not appear to make it feasible for any of us to add value as shareholders and is not commensurate to our contribution to the industry, or our duty to our shareholders and customers,” said a letter from the four incumbents to the government. 

They also complained that the proposed interconnection terms and the lack of transparency surrounding DNB’s rate of return.

As a result, the four operators last week offered a counterproposal, suggesting that the four of them should take a combined 51% stake in the business.

Now, the Finance Minister Datuk Seri Tengku Zafrul Abdul Aziz has seemingly rejected this plan, according to reports from the Malay Mail. Tengku Zafrul said that the deadline to sign up to DNB’s 5G services by 30 would remain, with the operators left without access to 5G if they do not sign up.

Meanwhile, private equity has long been reported as interested in investing in DNB and, according to the government, these firms would be cleared to do so if the nation’s big four telcos refuse the current equity offer.

Malaysia is already considerably behind neighbouring countries when it comes to 5G, with most neighbouring countries already rolling out the required infrastructure having followed a more traditional spectrum allocation strategy. 

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