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Plans to get a high-speed mobile broadband network up and running in the London Underground in time for the 2012 Olympic Games have been shelved.

According to the major industry players behind the initiative, steadily escalating costs have caused them to reconsider.

Vodafone, O2, Everything Everywhere and 3 were all involved in the mobile broadband project, but they announced they were abandoning it after spending "millions" on consultations.

"As a group we will continue to positively explore all other avenues available to us in order to provide a service at a later date," the firms said in a joint statement.

Meanwhile, London Mayor Boris Johnson, who has been brokering the universal London Underground mobile broadband deal, said: "We are grateful to the companies who explored the possibility of getting full mobile coverage on the Tube, although disappointed that the genuine problems encountered could not be overcome on this occasion."

Some 120 Tube stations across the UK are expected to get Wi-Fi broadband in time for the 2012 Olympic Games thanks to BT's Openzone project.

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