Vodafone and Three have welcomed the announcement by the UK’s Competition and Markets Authority (CMA) approving their merger after 18 months of detailed analysis.
This merger is seen as a once-in-a-generation opportunity to transform the UK’s digital infrastructure.
Vodafone and Three have committed to investing £11 billion to build one of Europe’s most advanced 5G networks. The new network will reach 99% of the population, benefiting over 50 million customers with improved quality, reliability, and capacity to handle growing data demand driven by advancements in technology such as AI.
High-quality connectivity is critical for businesses and public services and plays a central role in narrowing the digital divide and supporting the UK’s economic and technological growth. The merger creates a stronger player in the UK mobile market, enhancing competition in both retail and wholesale sectors without requiring public funding. The CMA emphasized that this investment would “boost competition between the mobile network operators in the long term, benefiting millions of people who rely on mobile services.”
The combination is expected to be completed in the first half of 2025. Vodafone will own 51% of the equity, with an option to acquire Hutchison’s 49% stake after three years, subject to conditions.
Margherita Della Valle, CEO of Vodafone Group
Today’s decision creates a new force in the UK’s telecoms market and unlocks the investment needed to build the network infrastructure the country deserves. Consumers and businesses will enjoy wider coverage, faster speeds and better-quality connections across the UK, as we build the biggest and best network in our home market. Today’s approval releases the handbrake on the UK’s telecoms industry, and the increased investment will power the UK to the forefront of European telecommunications.
Canning Fok, Deputy Chairman of CK Hutchison and Chairman of CK Hutchison Group Telecom Holdings
We have been operating telecoms businesses in the UK for over three decades and Three UK for the past two. We have invested in the people and the infrastructure, helping to bring the benefits of mobile connectivity to UK businesses and consumers. When Three and Vodafone are combined, CK Hutchison will fully support the merged business in implementing its network investment plan, the cornerstone of today’s approval by the CMA, transforming the UK’s digital infrastructure and ensuring customers across the country benefit from world-beating network quality.