Vodafone signals the demise of copper. A regular column on the information industries

Pages288-290
DOIhttps://doi.org/10.1108/DPRG-11-2017-0061
Published date14 May 2018
Date14 May 2018
AuthorJason Whalley,Peter Curwen
Subject MatterInformation & knowledge management,Information management & governance,Information policy
Rearview
Vodafone signals the demise of copper
A regular column on the information industries
Jason Whalley and Peter Curwen
Jason Whalley is Associate Professor
at the Newcastle Business School,
Northumbria University, Newcastle,
UK.
Peter Curwen is Visiting Professor of
Mobile Communications at Newcastle
Business School, Northumbria
University, Newcastle, UK.
With quad-play being the
ultimate goal of major
incumbents across the
developed world, they have
increasingly found themselves in
competition with companies that
approach this issue from the opposite
dimension that is, not as a mobile
operator seeking to obtain fixed-wire
connectivity but as a fixed-wire
service provider seeking to obtain
mobile connectivity. For example, the
likes of Vodafone and Liberty Global
have met head to head in a number of
markets, especially Germany and the
UK, but starting from quite different
places.
Over the past couple of years, there
have been considerable comments
about the possibility of a merger
between Vodafone and Liberty
Global. There are clear benefits
arising from such a merger, as it
would combine Vodafone’s mobile
operations, largely in Europe, with
Liberty Global’s cable and content
operations, creating a quad-play
operator capable of challenging
incumbent fixed-wire operators.
Rumours about a possible merger
between the two companies first
appeared in mid-2015, though it soon
became apparent that Vodafone and
Liberty Global were not discussing a
full merger but rather an asset swap.
It was suggested that Vodafone
would sell its Dutch and British mobile
operations to Liberty Global while
acquiring Liberty Global’s German
cable business. Another suggestion
was that Vodafone would acquire
Liberty Global’s Dutch and British
cable operations, while selling its
German mobile business to the US
company.
However, in late September 2015, the
two companies ended their talks,
although it was not exactly clear why.
It was suggested that Liberty Global’s
complex structure prevented assets
being swapped, and that there would
be severe regulatory challenges to be
faced in Germany by any proposed
swap. The strategic nature of the UK
market for both companies was
alluded to by some observers.
Received 30 November 2017
Accepted 10 January 2018
PAGE 288 jDIGITAL POLICY, REGULATION AND GOVERNANCE jVOL. 20 NO. 3 2018, pp. 288-290, © Emerald Publishing Limited, ISSN 2398-5038 DOI 10.1108/DPRG-11-2017-0061

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