Tele2 has added mobile services to its offering in Austria after signing an MNVO deal with T-Mobile.

The operator said it would provide the service to its enterprise customers. It currently provides broadband, fixed-line telephony and TV services in the country.

Austria made up five percent of Tele2’s revenues last year. However, sales were down eight percent to SEK1.2 billion in 2014 as customer numbers declined.

Its subscriber base fell by 29,000 during the year to just 256,000.

The Austrian market has undergone significant change in the past couple of years since it was reduced to three main players – Telekom Austria’s A1, Deutsche Telekom’s T-Mobile and Three Austria.

All three are struggling: including fixed-line services, A1 recorded a seven percent decline in sales in 2014, revenues at T-Mobile were down 1.6 percent, while Three saw sales fall eight percent.

Niklas Sonkin, EVP Central Europe and Eurasia at Tele2 AB, commented: “We are happy to have reached an MVNO agreement with T-Mobile. This enables us to better meet our current customers’ needs and become even more attractive on the market through more competitive offers.”

Last month, Tele2 finally got the green light from regulators to sell its Norwegian business to TeliaSonera.

In December, it outlined a new strategy as it looks to maintain its relevance as mobile-only player, for the most part, in a world that is increasingly turning to converged services.

The company said it aimed to make cost savings and focus on value as opposed to being a discounter.

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