TalkTalk is reported to have lobbied the British government to become the UK’s new fourth mobile operator if Three’s merger with O2 wins regulatory approval.
The fixed-line challenger, which operates an MVNO piggybacking on O2’s network, is keen…
TalkTalk is reported to have lobbied the British government to become the UK’s new fourth mobile operator if Three’s merger with O2 wins regulatory approval.
The fixed-line challenger, which operates an MVNO piggybacking on O2’s network, is keen to acquire mobile spectrum and become an operator itself, The Sunday Telegraph reported citing sources.
TalkTalk declined to comment.
Three’s parent, Hutchison Whampoa, has agreed to buy O2 from Telefonica for up £10.3bn (US$15.3bn). The takeover, which would reduce the number of mobile network operators from four to three, will be reviewed by the European Commission later this year.
Regulatory approvals of some other four-to-three mergers have been contingent on spectrum disposals. Due to Three and O2’s relatively small spectrum holdings – together they hold 27% of the UK’s mobile frequencies – so they may not be asked to forfeit licences.
Yet if regulators approve incumbent BT’s takeover of number one cellco EE, they may insist that the groups, which would together hold 65% of mobile frequencies, dispose of some spectrum, it has been suggested to TelecomFinance.
