Telefonica 02 Czech Republic

Fixed-line operator Cesky Telecom and its mobile arm Eurotel will merge on July 1 and will begin operating under a new brand name, Telefonica O2 Czech Republic, representatives of the companies told journalists today. Cesky Telecom CEO Jamie Smith said that most of the rebranding for the merged unit should be completed by the end of the year. In the first year of its existence the new company will merge sale and customer care, in the second year it will focus on the domestic market segmentation and in the third year on IT integration. Telefonica of Spain bought Cesky Telecom last year, and now controls 70 percent of the company. Telecom is the sole owner of Eurotel.