While the world of FM waits to hear the outcome of the long-running Project Jaguar saga, the fast-moving world of telecommunications moves on.

BT has announced a radical restructuring, which sees its UK fixed network business separated into wholesale and retail divisions and the creation of market sector focused groupings, including a new wireless business, which consolidates all BT’s mobile operations, and a consumer internet business.

The four new high growth-oriented businesses will be:

Ignite, a data-centric broadband IP business focused on corporate and wholesale markets; BTopenworld - a mass market Internet business focused increasingly on broadband services;
BT Wireless - an international mobile business emphasising mobile data and next generation services; Yell (formerly known as Yellow Pages) an international directories and e-commerce business.

BT intends to float Yell by the end of the year and the restructuring will facilitate separate listings for the other businesses.

Sir Peter Bonfield, BT's chief executive, said: "BT has already invested for the new age in communications - in its UK network, in its unparalleled spread of European and Asia Pacific investments, and in its Concert global venture with AT&T.

"This restructuring will strengthen our position in the key growth areas of broadband, consumer Internet and mobile and will help us to realise our aggressive plans to lead the next wave of the communications revolution."

Regulator OFTEL welcomed the announcement: "These proposals are a significant step to create a structure where there will be greater transparency. OFTEL welcomes this and looks forward to seeing further details."

Richard Byatt