Cellnet to invest an extra pounds 560m

BT CELLNET, Britain's second biggest mobile telephone company, plans to boost investment in its network and related services by one-third to pounds 560m this year to keep pace with the record takeup in mobile phone services.

The heavy investment needed to cope with exploding mobile usage meant that operating profit fell by 9 per cent in the year to March to pounds 166m. The 2.5 million new customers gained in the year to March cost the mobile operator pounds 340m in handset subsidies and marketing costs.