Vodafone Merger with Three Approved by regulators

One of the biggest developments in UK telecommunications in recent years is the approval of the merger between Vodafone and Three, announced on 6th December.

The Competition and Markets Authority (CMA) has cleared the merger, which is valued at £19 billion, with certain conditions.

The scale of this merger is often not appreciated but will create by far the UK’s largest mobile network provider, serving around 27 million customers

The Key takeaways of the Merger are:
· 5G Rollout: Vodafone and Three have committed to investing £11 billions in rolling out one of the most advanced  5G network in Europe – which should be good news for GB Limited.
· Customer Protections: For the next three years, certain mobile tariffs will be capped, and mobile virtual network operators (MVNOs) will have access to preset wholesale prices and contract terms.
· Market Impact: The merger is expected by the CMA to enhance competition in the long term by improving network quality and coverage.

This is seen as a significant move to boost the UK’s telecommunications infrastructure and provide better services to businesses, consumers and the Wholesale markets. Offering significantly improved quality, greater reliability and enhanced capacity for handling ever the increasing demands for data, demand which will only accelerate with the anticipated widespread adoption of Artificial Intelligence.

The merger is expected to formally complete during the first half of 2025 with Vodafone owning  51% of the equity and, after three years, following subject to certain conditions, Vodafone may acquire Hutchison’s remaining 49% of Three via a Put and Call option.

Interface Advantage offer a wide range of mobile network offerings including Vodafone, O3, Three as well out our industry leading Mobile manager web portal. So if there is anything specific you’d like to know more about regarding this merger or our current range of offerings please contact us.

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