TalkTalk signs deal to access Telefónica UK's 4G service Although TalkTalk will initially act only as a reseller, in time it plans to augment it network by distributing new home routers to its 4.2 million broadband customers that will also function as small mobile masts. By routing calls and data via the new equipment, over its own small slice of 4G radio spectrum, it will aim to reduce its payments to O2. Baroness Harding said TalkTalk was some years away from implementing the plan, however. BT is working on similar technology on a more ambitious scale. It aims to begin exploiting its 4G radio spectrum a year after the scheduled launch of its consumer network next spring. Both companies are aiming to undercut traditional mobile networks and build their base of "quad-play" subscribers, who pay for a bundle of broadband, home phone, mobile and television services. TalkTalk is currently a minnow in the mobile market, with only 350,000 subscribers, compared with 31 million for the biggest network operator, EE. It claims to be well positioned for a consumer shift to quad-play, however, having introduced bundled packages already, while several rivals are still preparing their products. TalkTalk's renewed push in the mobile market may be seen as more of a threat to the network operator Three than others. Both companies aggressively pursue budget-conscious subscribers as "challenger" brands. Baroness Harding said: "We [TalkTalk] don't sell iPhones. We don't operate at the premium end of the market. She added that the time was right for TalkTalk to make its move because 4G handsets were coming down in price to a level that made them more accessible for TalkTalk customers.