Ericsson has secured the primary radio access network contract with Virgin Media O2 to deploy an advanced 5G Standalone architecture across the UK.
The telecom industry is shifting from simply providing connectivity toward building intelligent, software-defined platforms. Operators, wholesale carriers, and enterprise IT teams face pressure to monetise infrastructure while handling rapidly growing data demand. Delivering greater value from existing assets and improving spectral efficiency are now pivotal strategies.
Under a five-year extension, Ericsson will serve as the main radio access network partner for Virgin Media O2, powering most of the provider’s nationwide radio network. The contract represents several hundred million euros of investment over the term and underlines a significant move toward infrastructure modernisation.
Traffic on Virgin Media O2’s network has more than doubled in the past five years, creating an urgent need for better spectrum use and more capable radio hardware. Simply adding more equipment is not a sustainable approach; operators must extract maximum performance from their allocated spectrum while deploying efficient, high-performing radio units.
A major focus of the upgrade is maximising the potential of the 5G mid-band spectrum Virgin Media O2 acquired in 2025. Mid-band frequencies strike an effective balance between coverage and capacity, making them ideal for dense urban areas, enterprise campuses, and a broad range of consumer services.
By leveraging this spectrum, Virgin Media O2 aims to reinforce its leadership in 5G Standalone connectivity across the UK. Migrating to standalone architecture — with a full 5G core — reduces latency and enables advanced routing and service capabilities.
Monetising the intelligent network
Modern telcos depend on new revenue streams from enterprise customers. To deliver those services, networks must be programmable and intelligent. Ericsson’s technology will introduce network programmability and intelligence to Virgin Media O2’s 5G Standalone network, enabling advanced differentiated services through network slicing.
Network slicing is highly valued by enterprise IT teams supporting automated logistics, manufacturing facilities, and campus environments. It partitions a physical network into multiple virtual networks, each optimised for specific applications and service levels. For instance, a hospital could run an ultra-reliable, low-latency slice for remote surgical equipment alongside a separate high-bandwidth slice for guest Wi‑Fi.
Offering guaranteed service-level slices unlocks new billing models, raising Average Revenue Per User and reducing churn among high-value corporate customers. Implementing slicing requires tight integration between the radio access network and legacy Business Support Systems (BSS) and Operations Support Systems (OSS). Billing systems must accurately track slice usage, maintain service quality, and process charges in real time.
Wholesale carriers and their IT leaders who rely on the Virgin Media O2 network will also need updated APIs and orchestration tools to provision isolated network slices for their end users.
Deploying next-generation radio hardware
At the physical layer, the investment targets reliability, capacity growth, and wider coverage across the national footprint.
The upgrade will deploy a range of Ericsson Radio System products, including energy-efficient multiband Massive MIMO radios such as the AIR 3229 and the triple-band Radio 4486, at both new and existing sites.
Massive MIMO uses large antenna arrays to transmit and receive multiple beams simultaneously, significantly increasing a cell’s capacity without needing additional spectrum.
Tower companies replacing legacy antennas with active multiband units must consider mast weight limits and wind-load dynamics. Successful deployments require careful structural planning to ensure safety and performance.
The energy-efficient design of the new radios also addresses a major operational cost for operators: power. Reducing electricity consumption across thousands of cell sites is critical for controlling operating expenses and meeting sustainability goals.
Patrick Johansson, Head of Europe, Middle East, and Africa at Ericsson, said the expanded RAN footprint reflects the strong partnership between Ericsson and Virgin Media O2 and positions Ericsson to power the majority of the operator’s radio network.
Integrating AI into network operations
Hardware alone cannot manage the complexity of modern networks. The agreement includes Ericsson’s AI and machine learning software to optimise network performance and efficiency in real time.
Adopting AI requires cultural change within engineering and operations teams. Staff used to manual configuration will shift to supervising systems that automatically adjust power levels, antenna tilt, and resource allocation based on predictive traffic models.
During low-demand periods, machine learning models can power down specific antenna sectors to conserve energy without compromising user experience. This approach serves as a model for enterprise networks, where intelligent automation increasingly replaces manual oversight.
Jeanie York, CTO of Virgin Media O2, described the Mobile Transformation Plan as a step-change in performance that will give customers fast, reliable connectivity across the UK. The partnership with Ericsson is intended to accelerate radio network modernisation, increasing capacity, efficiency, and reliability for millions of users.
Preparing for Cloud RAN and future standards
The upgrade will enable Virgin Media O2 to migrate a larger share of its customer base onto the 5G Standalone network, which is already available to a substantial portion of the UK population. That reach supports the rollout of latency-sensitive consumer services such as enhanced mobile gaming and immersive augmented reality.
The partnership is structured to support a transition to Cloud RAN and to scale for future 5G-Advanced features. Cloud RAN decouples baseband software from proprietary hardware, running it on commercial off-the-shelf servers at the network edge, and represents a major architectural shift.
Adopting Cloud RAN typically involves multi-cloud strategies and collaborations with hyperscalers to handle compute workloads. Engineering teams will need skills in containerised deployments, Kubernetes orchestration, and continuous integration to manage virtualised network functions effectively.
Preparing for 5G-Advanced positions the network to support future global standards that promise higher capacity, improved positioning, and expanded support for massive IoT. Organisations planning smart city or automated logistics initiatives can rely on this network trajectory to support long-term device and service lifecycles.
Completing the nationwide densification strategy
The 2026 partnership builds on progress from the 2025 phase of the Mobile Transformation Plan, which focused on capacity and performance improvements through new spectrum, densification, and widespread small-cell deployments.
Small cells play a critical role in urban coverage, filling gaps where macro towers cannot reach and improving service in high-traffic venues like stadiums and transport hubs. The earlier phase also extended coverage along key transport routes, supporting commuters who travel at high speeds and face signal challenges from train carriages and infrastructure.
That tranche also targeted underserved rural and coastal areas to create a more equitable distribution of broadband access across the country.
Combining previous densification work with new AI-driven software and Massive MIMO hardware, Virgin Media O2 is building a nationwide intelligent platform engineered for the next generation of digital services.