Orange, the French-owned telecoms group, is the front-runner to secure a contract to manage communications for the 2012 London Olympic Games.

Industry insiders say that the mobile and broadband group is close to clinching the work, with an announcement possible within the next few weeks.

Success by Orange, which operates in 166 countries, would be a blow to rival contenders for the contract, including BT.

BT is thought to be pitching for the contract with a mobile partner - Vodafone – with the work to be split between the two. Orange, if successful, is expected to cover the contract by itself.

A spokesman for BT said yesterday: “No decision has been made. Becoming an official sponsor is something that we are interested in, but any sponsorship undertaking on this scale includes a multitude of commercial considerations that need to be looked at in a lot of detail.”

Orange’s success would mark a second triumph for Paris, which was bitterly disappointed at losing out in the bidding to stage the Games. EDF, the French-owned energy company, has already been named by the London Olympics’ organisers as the official energy provider to the Games in a deal thought to be worth around £50 million. The company is seeking to make the event the “greenest Games ever”.

The 2012 organisers hope to raise around one third of the £2 billion cost of the Games from sponsorship.

Around five or six “top-tier” sponsors, contributing a minimum of £40 million, should be in place by next summer. The organisers are billing the Games as a “once-in-a-lifetime chance” for companies to reap huge business benefits from an event of such magnitude. Nevertheless, some companies are expected to be deterred from involvement by the expense that they would incur.

In addition to EDF, the London Organising Committee of the Olympic Games and Paralympic Games (LOCOG) has already signed up Lloyds TSB and adidas as partners. Deals in sectors including motor manufacturing and airline sponsorships are still up for grabs. British Airways has been tipped as the most likely official airline of the Games. Budget airlines are thought unlikely to win the work because of a lack of the marketing budget needed for such an event.

Aside from promoting their brand alongside the 2012 logo, contract winners will enjoy perks including free tickets to the event.

Orange’s French unit recently secured another big-name contract: the deal to market Apple’s iPhone in France.

A spokesman for Orange said: “We cannot comment on an open tender by LOCOG.”

Times Recommends

• Minister in talks with Saudis to protect creditors
• Premier Inn hits back in £29-a-room row
• Bankers hit back at 'populist' bonus supertax