Eircom blow as Smart option preferred

EIRCOM suffered a double dose of bad news yesterday as it lost out in the race for the country’s final third generation (3G) mobile phone licence and potential buyer Swisscom fuelled doubts over its proposed takeover.

Niche fixed line and broadband operator Smart Telecom was instead left celebrating as ComReg, the communications regulator, opened the door for the telecom minnow to compete with mobile heavyweights Vodafone, O2 and 3 by granting it the fourth 3G licence.

ComReg’s decision leaves Eircom out in the cold in 3G stakes, although it has a second generation licence, held through recent acquisition Meteor but offering a more limited service.