"You cannot believe what we are going to tell you." That was how Charles Dunstone kicked off his presentation of Carphone Warehouse's ambitious European venture with Best Buy of the US. The Carphone chief executive was simply making light of Best Buy's cautionary "safe harbor" statement, obligatory under US securities laws.

But analysts might have been tempted to take the joke seriously. When Mr Dunstone went on to argue that this deal did not pave the way for the company's exit from the retail or telecoms sectors, there was a nagging sense of doubt among some observers. Some analysts predicted Carphone would quit the retail sector, while others said the company's rivals could bid for its telecoms business.