Vodafone eyes greater invasion in European market
9 February, 2018
Vodafone, the world's second biggest mobile operator, confirmed it was in talks with the US cable company Liberty Global about buying some of its assets in the continental European countries. Vodafone noted that the talks didn't regard a merger of the two firms. The negotiations, which are in an early phase, concern assets in markets where the two firms overlap, including Germany, Czech Republic, Hungary and Romania, news wires reported.
The UK based Vodafone, founded in the 1980s, operates in more than 30 countries and boasts more than 400m customers globally. The company has historically focused on cellular mobile phone services, but has more recently been expanding its fibre infrastructure, which supports faster internet and data downloading.
Liberty Global, run by billionaire John Malone, is an international television and broadband company that operates in more than 30 countries, including 12 in Europe.
The two companies discussed swapping assets in 2015 without reaching an agreement on values. They, however, managed to agree the following year to form a joint venture in the Netherlands, VodafoneZiggo, bringing together mobile, broadband and TV services in a package designed to compete more effectively with former state monopoly KPN. Analysts predicted that a more wide-ranging tie-up between the two would be the logical next step. Vittorio Colao, chief executive of Vodafone, has said last year that the two companies represented the only serious challenges to incumbent telecom operators like Deutsche Telekom and BT Group.