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--Genie to save up to £20 million over five years with IT platform outsourcing deal--


-Contract awarded to Cap Gemini Ernst & Young-


Genie, the mobile Internet business of mmO2, today announced plans to streamline its technology operations by outsourcing its global data platform function to IT and management consultancy Telecom Media Networks*, an industry practice of the Cap Gemini Ernst & Young Group. This will result in cost savings of between £10 to £20 million over the next five years for the mmO2 group.


Unifying Genie's operations under a single service level agreement will offer improved responsiveness and great flexibility and is in line with mmO2's commitment to manage the business as one, thereby reducing costs and building economies of scale across the group.


The global data platform involves the hosting of Genie's mobile Internet data services. Cap Gemini Ernst & Young will be responsible for and provide input into the new product introduction process to help accelerate the roll out and operational acceptance of these new services. Cap Gemini Ernst & Young already supports elements of Genie's operations in the UK, Ireland and the Netherlands.


In addition to implementing and running these systems, it will also manage contracts with third parties relating to software, hardware, hosting, network services, applications and systems management. Genie will retain a senior operations team to set strategy and retain control over all design of the platform infrastructure. This team will be responsible for working with Cap Gemini Ernst & Young and liaise directly with other strategic partners.


Jim Ryan, chief technical officer, Genie said: "The decision to appoint Cap Gemini Ernst & Young to manage our platform operations will help Genie maximise efficiencies. We are confident that their operations management capabilities will help us take the lead in delivering innovative data services across our footprint."


Roger Fawcett, head of Telecom Media Networks in the UK and Ireland said: "Quality of service to users is clearly key to Genie's competitive success and is totally dependent on the reliability and performance of the underlying IT systems. We were able to prove to Genie that we can and will deliver the outstanding service levels they require from those systems, and deliver them at a cost-effective level and on a 24x7 basis. We felt our ability to provide a full end to end solution from Strategic Business Consulting to Network Management was a key differentiator in the decision making process."


As well as running existing operations, Cap Gemini Ernst & Young will also provide a 24x7 incident management service providing technical and operations support and play an important role in new systems development, systems enhancement and will identify network security issues.


Services under the new contract will be based at a Cap Gemini Ernst & Young secure data centre in South Bank, London.



-ENDS-



* The legal entity which has been assigned for the project is Cap Gemini Telecom Media & Networks UK Limited.



About the Group Cap Gemini Ernst & Young


The Group Cap Gemini Ernst & Young ( http://www.cgey.com) is one of the largest management and IT consulting firms in the world. The company offers management and IT consulting services, systems integration, and technology development, design and outsourcing capabilities on a global scale to help businesses continue to implement growth strategies and leverage technology in the new economy. The organization employs about 56,500 people worldwide and reports 2001 global revenues of about 8.4 billion euros.


About Telecom Media Networks


Telecom Media Networks, an industry practice of the Cap Gemini Ernst & Young Group, focuses on the consulting needs of communications service providers worldwide.


It offers a balanced mix of business consulting and technology implementation that enables communications service providers-both traditional businesses and dotcoms-to thrive in the network economy. Combining expert industry knowledge, strong partnerships, an excellent set of tested solutions and R&D capability, Telecom Media Networks is in the top tier of global consulting and systems integration firms for the communications industry.



About Genie


Genie, the mobile Internet business of mmO2, is made up web and WAP portals in the UK, the Netherlands, Germany, Italy, Hong Kong, South Korea and a WAP portal in Malaysia. Globally, Genie has attracted 5.8 million registered accounts to its online portals.


In Asia, Genie acts as an application service provider (ASP) and offers hosted secure access to enterprise applications through an integrated customised portal.


Genie Mobile, Genie's mobile phone operation, is available in the UK and the Netherlands ( http://www.mobile.genie.co.uk/shop), offering price competitive data-centric mobile phone packages. As of end January 2002 Genie Mobile (UK) has attracted 234, 000 high value customers.



About mmO2


mmO2 has 100% ownership of mobile network operators in four countries: the UK (BT Cellnet), Germany (Viag Interkom), the Netherlands (Telfort Mobiel), and Ireland (Digifone). Additionally it has operations on the Isle of Man (Manx Telecom) and a leading European mobile internet portal business, Genie.


mmO2 was the first company in the world to launch and rollout a commercial GPRS (or 2.5G) network and has secured third generation mobile telephony ("3G") licences in the UK, the Netherlands, and Germany. mmO2 also expects to apply for a 3G licence in Ireland, where the licence competition was launched on 18 December 2001.


mmO2 has approximately 17.25 million customers and over 15,000 employees, with revenues for the year ended 31 March 2001 of £3.2 billion. Data represented 12.8% of total service revenues in the quarter ending December 31, 2001.


For further information, please contact:



At Cap Gemini Ernst & Young:
Emma Giles
Tel: 0870 904 581
Email: emma.giles@cgey.com


At Genie:
Kevin Caruth, Genie
Tel: 07771 964 595
Email: kevin.caruth@genieinternet.com


Vanessa Wong, Edelman PR Worldwide
Tel: 020 7344 1200
Email: vanessa.wong@edelman.com

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