Vodafone and Three UK expressed disagreement with the UK Competition and Markets Authority’s (CMA) provisional findings regarding their planned merger, which raises concerns over competition and potential price increases. The companies argue that the merger would significantly enhance the UK’s digital infrastructure with £11 billion of investment, enabling faster and more extensive 5G coverage. They maintain that the merger is pro-growth, pro-customer, and pro-competition, emphasizing that it can and should be approved by the CMA. Vodafone and Three highlighted that the UK ranks low in 5G availability and speed compared to European countries, and that the merger would help address this issue.
The companies also stressed that the merger would improve network quality for over 50 million customers, including those of other providers such as VMO2, with no impact on pricing. Vodafone and Three assert that competitive pressures would ensure prices remain stable or decrease, despite the CMA’s concerns. They added that the merger would boost competition in the wholesale market by offering better quality and choice for mobile virtual network operators (MVNOs).
Vodafone and Three confirmed their commitment to working with the CMA to address any concerns, including the possibility of independent monitoring by Ofcom. They remain confident that the merger will benefit UK consumers, businesses, and society by improving connectivity and advancing the UK’s 5G infrastructure.
• £11 billion investment plan in UK digital infrastructure
• CMA concerns about competition and potential price increases
• Vodafone and Three assert no impact on pricing, possibly leading to price reductions
• 50 million customers to benefit from improved network quality
• Commitment to work with the CMA and potential Ofcom oversight
“Our merger is a catalyst for change. It’s time to take off the handbrake on the country’s connectivity and build the world-class infrastructure the country deserves,” said Margherita Della Valle, Vodafone’s Chief Executive.