Motorola Solutions is overcharging the UK’s home office for its emergency service radio network, which is ultimately being paid for by taxpayers
Motorola Solutions could make “excess profit” of £1.1bn from its UK emergency services contract, the country’s competition watchdog said, warning that the government had locked into a monopoly provider.
Motorola’s Airwave Network has run the secure mobile system for the UK’s police and ambulance services since 2000. The contract was due to end two years ago, but has been delayed until 2026 or later. Motorola’s double role in providing the current network and in helping to deliver the replacement network is partly behind the large profits, according to the CMA. Motorola acquired Airwave in 2016, hence the dual role, the CMA added.
The CMA said the company could make about £1.1bn in excess profit from operating the network between January 2020 and December 2026. If the delay in rolling out a new network continues, it could make a further £160m excess profit each year after 2026.
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