Vodafone Group and Three UK are in talks of a merger according to a recent report from the Financial Times. Based on information from people close to the matter, the two telecoms are looking to form a larger network in a bid to take on the UK’s other two dominant players – EE and Virgin Media O2. Vodafone is the UK’s third-largest mobile operator while Three currently occupies the fourth spot.
The proposed merger is yet to be commented on by either Vodafone or Three. Analysts suggest that neither firm has the capital to directly buy out the other so a joint-venture is the most likely outcome. It remains to be seen how and if the financial aspects will be worked out. The combined entity will accelerate 5G network rollout in the UK in a bid to benefit consumers. The new report also mentions that a similar merger plan was discussed last year though it ultimately fell through.