T-Mobile and BT Wholesale have announced a new agreement that sees BT link thousands of T-Mobile's base station sites around the UK to the T-Mobile network.

The contract will deliver T-Mobile a cost-efficient and flexible next generation service to support its growth plans and help avoid any investment risk in building out its own capability.

BT will connect thousands of T-Mobile's base stations around the UK to the central T-Mobile network. Leased lines will be used to connect these sites at first before an ethernet-based service is introduced.

The new Ethernet service will further enhance the delivery of access and backhaul services to T-Mobile. It will be designed and built to be fully compatible with BT's 21st Century Network (21CN).

The service will provide T-Mobile with the network capacity required to support future bandwidth hungry mobile services based on High Speed Downlink Packet Access (HSDPA) technology. These include Mobile TV and music and video downloads.

T-Mobile has selected the managed network solution from BT as an alternative to building its own radio access transmission network, allowing it to benefit from reduced risk and reductions in capital and operational expenditure.